What Happens if You Mobile Deposit a Check Then Cash It?
Mobile deposit and check cashing are two convenient ways of accessing funds. Mobile deposit allows customers to deposit checks using their mobile devices without going to a bank or ATM. Check cashing, on the other hand, involves cashing a check for its full amount at a bank or a check-cashing store. However, some people may try to use both methods for the same check, which can lead to various issues.
Can You Mobile Deposit a Check and Then Cash It?
Technically, you can mobile deposit and cash a check, but it is not advisable. When you mobile deposit a check, you instruct your bank to credit your account for the check amount. Once the check has been credited to your account, the bank may take several days to verify and clear the check before the funds are available for withdrawal.
If you cash the same check before the bank has cleared it, you risk overdrawing your account, which can result in fees and negative consequences on your credit report. Cashing a check already deposited is also considered check fraud and a punishable offense.
Reasons Why People May Want to Do This
For several reasons, someone may want to mobile deposit and cash a check. One reason could be to access the funds immediately without waiting for the check to clear. Another reason could be to double-dip, meaning to receive the funds twice by cashing the check after it has been deposited via mobile deposit.
While these reasons may seem tempting, they are not worth the risk of committing check fraud or facing legal consequences.
Consequences of Mobile Depositing and Cashing the Same Check
Mobile depositing and cashing the same check can lead to several issues, including multiple deposits, check fraud, and legal consequences.
Multiple Deposits
You risk multiple deposits if you attempt to deposit the same check twice, once via mobile deposit and once at a bank or check-cashing store. Multiple deposits occur when two different banks or institutions receive the same check for a deposit. This can result in the check being returned unpaid, which can lead to fees and overdrafts.
Check Fraud
Cashing a check that has already been deposited is considered check fraud. This is because you attempt to receive payment twice for the same check. Check fraud is a punishable offense and can result in fines, jail time, and a criminal record.
Legal Consequences
If you are caught committing check fraud, you may face legal consequences. In addition to fines and jail time, check fraud can also result in a mark on your credit report, making it difficult to obtain credit or loans in the future.
How to Avoid Issues with Mobile Deposit and Check Cashing
To avoid issues with mobile deposit and check cashing, it is important to wait for the deposit to clear before cashing the check. This may take several days, but it is the safest way to ensure the funds are available for withdrawal.
It is also important to keep track of your deposits and only attempt to deposit the same check once. Be honest and avoid committing check fraud, as the consequences are not worth the risk.
Also Read: When Looking for Pre-Approval on a Car Loan You Should Not
FAQs
Can I mobile deposit a check and cash it at a check-cashing store?
It is not advisable to do so as it is considered check fraud and can lead to legal consequences.
How long does it take for a mobile deposit to clear?
Depending on the bank’s policies and procedures, a mobile deposit can take several days to clear.
What should I do if I accidentally deposit the same check twice?
Contact your bank immediately and explain the situation to avoid fees and overdrafts.
Can I cash a check that has already been mobile deposited?
No, this is considered check fraud and can lead to legal consequences.
Is mobile depositing and check cashing safe?
Yes, both methods are safe when used separately and responsibly. However, using them together for the same check can lead to issues.
Can I deposit a check after the mobile deposit?
Yes, you can deposit a check after mobile deposit, but it is not recommended if you have already deposited it via mobile deposit. When you deposit a check via mobile deposit, you instruct your bank to credit your account for the check amount. Once the check has been credited to your account, the bank may take several days to verify and clear the check before the funds are available for withdrawal.
Conclusion
Mobile deposit and check cashing are convenient ways of accessing funds, but they should be used separately for the same check. Mobile depositing and cashing the same check can lead to multiple deposits, fraud, and legal consequences. To avoid these issues, waiting for the deposit to clear and only attempting to deposit the same check once is important.
