Why does it take 4 days to clear a $50000 cashiers check?
OK…this is why it takes 5 days (sometimes not always, local banks should clear in a day and you will understand why) Day 1…You take your large dollar check to the bank teller who says she has to put a 5 bus day hold on the check. Said check is imaged by bank and sent to that bank’s local federal reserve bank electronically. Day 2…Federal reserve bank does their thing…if the check is local it is sent right to the local bank and clears that day…sending bank recieves money. A non local bank is a bank that doesn’t use the same federal reserve branch as your bank. So the non local banks check is sent on to that banks federal reserve branch. Day 3…transit time and processing time (non local feds can be across the country and takes time for the information and man power to catch up as well as time differences across the country mean one fed reserve bank can be noon and the other can be closed… Day 4…Non local banks fed reserve branch recieves the check your bank sent and proce
