Q: Can a Bank refuse to cash a Cashier/Teller Check underwritten by their own bank?
I recently retired from the Army (WA) and my Mother (CA) had open heart surgery and could no longer navigate the stairs in her residence. I entered into a business agreement to have a Mobile home purchased/moved and set-up. When my Bank overnight rushed the check to the intended Seller, it was refuse at Chase Bank, even though it was underwritten by the bank. As a result, I lost out on the business deal. Is the bank responsible for my lost business transaction and the damages it cost me financially. Thanks.
A:
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I am sorry to hear about your situation. I read over your description twice, but could not see on what grounds the cashier's check was refused. Why was the seller trying to cash the check rather than depositing it? Depending on the recourse the bank has with its depositor (here the seller), banks may accept payment instrument for deposit but place a hold on the funds until the check has cleared the issuing bank. You should immediately consult your own attorney to protect your legal rights.
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