BANKING AFFAIRS

Detailed explanation-1: -What is a Stale check? Checks which are at least 180 days old (6 months) are considered stale. Tellers in banks will sometimes reject a check if the date is over that limit. This does not prevent a check from clearing the bank when deposited through other means than a teller.

Detailed explanation-2: -This means your financial institution cannot cash or deposit the cheque until that date has arrived. Stale-dated Cheque – This is a cheque that is still uncashed more than 6 months after it’s written. At this point, it is a stale cheque, and a financial institution will not cash it.

Detailed explanation-3: -A stale cheque has already passed its validity date and can no longer be cashed. Currently, a cheque is considered valid until three months from its issued date.

Detailed explanation-4: -Banks don’t have to accept checks that are more than 6 months (180 days) old. That’s according to the Uniform Commercial Code (UCC), a set of laws governing commercial exchanges, including checks. Banks are still allowed to process an old check as long as the institution believes the funds are good.