How Long Can You Keep a Personal Check Before Cashing It?

Personal checks are a common and convenient way to transfer funds, but their validity is not indefinite. Understanding the time limits for cashing or depositing them is important. Several factors determine how long a check remains negotiable, and awareness of these can prevent financial complications for both the check writer and recipient. The timing of a check’s presentation influences whether funds are successfully transferred or if issues arise.

Understanding the Standard Timeframe

Most personal checks are valid for six months, or 180 days, from the date they are written. This timeframe is outlined in the Uniform Commercial Code (UCC), which specifies that banks are not obligated to honor a personal check presented more than six months after its date. This standard helps ensure the check issuer’s account status remains stable and prevents complications from outdated financial records.

Some checks may have “void after 90 days” or a similar phrase printed on them, though banks commonly still honor them for the full six months. After this six-month period, it is at the bank’s discretion whether to accept the check. For the recipient, depositing or cashing a check promptly is recommended to avoid potential issues.

What Happens to Stale Checks

A check presented for payment after the six-month timeframe is commonly referred to as a “stale check.” Financial institutions are not required to honor these checks. However, banks may choose to process a stale check at their discretion.

Factors a bank might consider include the check’s amount and their relationship with the account holder. If a stale check is returned for any reason, the person attempting to deposit it may incur a fee from their bank.

Common Challenges with Delayed Deposits

Holding onto a personal check for an extended period can lead to several practical difficulties. A common challenge is the check issuer’s account having insufficient funds (NSF) when the check is presented. If the account lacks the necessary balance, the check will likely “bounce,” and both the issuer and recipient may face fees from their banks. These fees can range from $5 to $35 for the recipient, and the issuer might incur charges around $34 per incident.

Another issue is the issuer placing a stop payment order on the check. This is a formal request to cancel a check that has not yet been processed. The check issuer might also close their bank account, making outstanding checks uncashable. If an account is closed, remaining funds are usually returned to the account holder or sent to the state’s unclaimed property office.

The death of the check issuer can also complicate matters. When a check is made out to a deceased person, the funds become part of their estate. Cashing such a check often requires establishing an estate account and may involve the probate process. The check may need to be reissued in the estate’s name.

Actions to Consider for Older Checks

If you have a personal check older than six months, the most advisable initial step is to contact the issuer. It is important to confirm if sufficient funds are available in their account to cover the check and if they are willing to re-issue it. Re-issuing the check is the safest method to ensure you receive the funds. Your bank may reject an old check, and requesting a new one avoids potential fees or complications.

While the original check may still be valid at the bank’s discretion, a re-issued check eliminates uncertainty. For any new checks you receive, it is prudent to deposit or cash them promptly. This practice helps ensure a seamless transaction and prevents challenges from delayed deposits.