[moneydance] Observe Payment Date Restrictions ignored in MD 528

[Larry Alkoff]

Joe Menola wrote:
> On Friday 23 June 2006 10:13 am, Kevin O. Lepard wrote:
>>> [I] am a bit frustrated that BofA seems to take the money out of my
>>> account on the payment date instead of whenever the payment is
>>> actually sent or the check cashed.  I don't know of most banks do
>>> this, but I wouldn't be surprised.
>> All the banks I've used to make payments this way do this.  I don't
>> much care for it either, but I try to look at their making money on
>> the float as a trade-off for the service being free (at least at my
>> bank).
> 
> For eft payments, the day it is sent is day it is received (the transfer 
> actually happens in a matter of seconds), so deduction at that time is 
> appropriate. 

BofA told me that EFT payments from me are processed the next business 
day and sent out in batch the next business day after that.
That's a couple days worth of seconds.

> As for sending paper checks on your behave...the issue of the check, is much 
> the same as the receipt of one you've written, when a check you've written is 
> presented to the bank, they don't wait until the other person has those funds 
> available to deduct it, it gets deducted when the receive it do they?
> Once they send that check it must be deducted from their assets and therefore 
> from yours to balance the books.

This is not the case with Bank of America.  The check they write is not 
an "official check" in any respect - it is simply a draft on my account.
I have seen several and it's quite clear the check is a draft on my 
account and BofA is not paying it.

However, BofA will not even print and send my check unless my account 
has enough funds to cover it.

The banks current policy is to deduct the amount from my account after 
(currently) 5 business days.  It doesn't take nearly that long in most 
cases and, because they will not send me even a copy in my bank 
statement like checks I write myself, I have no way to know how long the 
check took to clear or whether the payee actually received the check or not.

It would be interesting to make two payments to the same vendor - one 
from me direct mailed the next day and the other through normal bill pay 
to a vendor that receives paper checks.

> Funny, I noticed no complaints about not having to pay the postage to send 
> that check...;) 
I understand your statement is tongue in cheek from the smiley.
I'd guess the fact that the bank is so willing to bear this cost without 
complaint indicates that they are making good money.

I'm not really complaining that much about BofA practices although I 
don't really like them.

Larry

> 
> -jm
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-- 
Larry Alkoff N2LA - Austin TX
Using Thunderbird on Slackware Linux