To all business owners and bank account users this is a must read.
I put a stop payment on a check over a year ago due to an unscrupulous automotive race facility. I had Motor City Motor Sports turn my Mustang into a street racer. Long story but in short I was taken advantage of and when I drove away from the shop many things went wrong so I stopped payment.
Over a year later my check was presented to Monroe Bank & trust for deposit. They accepted it.
TCF bank who is my bank allowed the check to clear even though I had a stop payment order.
At the time of the stop payment the bank representative told me that the hold is good for six months and after this the check becomes what banks deem “stale”. Most banks would have rejected this check. I felt comfortable with this believing that my bank would protect me. Wrong! The owner of Motor City Motorsports knew the trick of waiting past the six months then present it for deposit. I was lead to believe that a stop payment is the end of the life of the check. Wrong!
The banks are regulated by a few different agencies and there is no laws that govern when a check is no longer negotiable. Meaning the bank can take a 100 year old check for deposit at their discretion.
Moral of the story: When you stop payment on a check, either close account and open another or every six months go to your bank and pay for the stop payment order to be upheld……for life of the account.
I lost $704.13 to these scum bags.
Shame on government for not making the banks keep stop payments for the life of the account.
Shame on TCF BANK for not protecting my money.
Shame on MB&T for allowing the check to be cashed.