I learned a lot when I started Whitetail Exchange. The biggest thing that I learned is how the US banking system works. It really is not what I thought it was as far as check cashing goes. As I understand it, here is what I have been told by every bank I have talked to.
Once I receive a check, I immediately deposit the check into the Whitetail Exchange account. On that day it shows the person who wrote the check, that is has been “cashed”. Cashed and “cleared” are two totally different things. (Yes they take your money immediately) It shows you that the money has been taken out of your account, however they put a 3+ day hold on most checks. I assume this is enough of a lag time for the bank to be able to make money on our money. If they hold everyone’s money for 3+ days, they have a LOT of money to play with. Banks even put a 24 hour hold on a money order now too.
I’m sure there has to be a banker on here that could correct me if I am wrong.