BofA is really bad with deposits and their "cutoff time" is a joke as well. I've made deposits pre-9am on my way to work and still had to wait a day before the money cleared. Cash deposits should never have a hold on them. The only reason I'm waiting to switch is because I signed up on an incentive deal and I have one more month to validate it.
Funny that i've been lurking on cf for several years (native houstonian bleeding rocket red), but it's a thread like this that gets me out of hiding. I manage a bank (smaller 'suburban' bank if you will) and can confirm some of ya'lls suspicions in the preceding replies to this thread, however there seems to be quite a bit of misunderstanding as well. Now let me preface this next statement by saying we are a business who has shareholder interest relegated to bottom line profit (as most publicly-owned companies): We are in the business to make money, and as much stigma as there is with OD fees, they really make up a small portion of the profibility of MY p&l. Again, I cannot speak for other financial instituations; but my belief is that bottom line, the practices are similiar across the board. . . So here's your chance to ask a specific question about anything transactionally related to a demand deposit checking acct. . .by the way, I thought we made out well in the draft last night!
Hey guys I work at a bank (not B of A) but I'll let you know a little about this transaction. At every bank cash has immediate availibility after the deposit, which means it is in your available balance, whether it is on that business day or after the cutoff for the business day. If it is after the cutoff time though that cash will not cover any transactions processing that business day. Also whenever you use your check/debit card to pay for something, the vendor sometimes can put a hold on your account for a certain amount until that transaction actually posts to your account, which can take a couple of days. So it makes the account seem like it has less money in there than it actually does. If things try to clear with that hold on the account, you're gonna get overdraft charges.
Cash usually is recognized immediately if I'm not mistaken...You should talk to the manager as that seem like total BS....
Cash availability should be fairly consistent throughout most banks; that being same day deposit, same day availability [the caveat being BEFORE BUSINESS DAY CUTOFF]. Also, and I cannot stress this enough: NEVER rely on ANY account balance that's generated from ATM terminal. The Visa network is notorious for having inconsistencies in reconciliation time. Not only that but information is streamed down from machine to machine based on priority of relationship (ie. .mom and pop convenience store machine is typically never right and always the last to recieve updated information and in the meantime your out there swiping that card like left and right - you can see where problems can start to occur if you have minimal cash position in your account) Consider this: you make a cash deposit at your bank with a teller and leave. you then proceed to convenience store where you try to pull out the deposited amount it is highly likely that it may not be there. This is not the banks fault. Banks transmit a ridiculously large amount of electronic information to VISA/MC networks and it is not instantaneous. As i've stated before there is reconciliation time in the process (typically 10-15 minutes) Lastly, holds (as mentioned by a previous poster) that are placed on debit card purchases NEVER originate from the bank. Again, they NEVER originate from the bank. Every vendor you decide to grace your business with ARBITRARILY place holds on your account. There is no rhyme or reason to amount of hold or amount of time and THIS is where fit hits the shan so to speak. Ex. . .you have $100 in your account. You take the old lady to XYZ restaraunt (notorious for placing holds) and drop $60(tip included) using your debit card to make the purchase. XYZ restaraunt debits your account for $60 and then puts a hold on another $20 (again completely arbitrary amount). On the way home you decide to stop at fry's because they have a box set purchase sale on Clutch City, Double Clutch and Hakeem the dream for your viewing pleasure! total purchase at fry's; $40.00. Congratulations your have now entered the wonderful world of the bank matrix where an escalating schedule of bend over fees now awaits you. It sucks, but it is what it is and the bank didn't put you there. Convenience has a price and if your cash low. . .pay with cash.
