Is postdating a check illegal in colorado elite co uk dating
However, if the tenant writes the check with the intent to have funds in the account on the date that the check is postdated for, there is no intent to commit fraud or pass a worthless check and therefore no illegal activity has technically taken place.
Accepting a check that is postdated may provide the tenant with a legal defense that negates criminal intent even if the check doesn't clear.
The Uniform Commercial Code states that a bank may honor a postdated check provided the check is otherwise safe to cash and the account owner has not provided the bank with "reasonable notice of the postdating.
This means that a tenant may legally postdate a check to you and that you may even be able to cash it when you receive it, but if the bank has been notified of the postdating you will have to wait until the date listed on the check instrument before you may receive the funds.
However, keep in mind that it is illegal to intentionally write a bad check; if you’re postdating it with the intention of canceling it before the date, or if you know for certain that you won’t have the funds, you could run into legal trouble.
As a landlord, collecting a check that has been postdated could be dangerous.
The tenant may know that he or she will not have the money in time, the check could have a stop-payment placed on it, or the check may bounce.
Accepting a postdated check from a tenant may seem like a surefire way to get the money that you are owed, but this does not always lead to payment and sometimes may even lead to further complications.
Unless you are 100 percent sure that the tenant can be trusted and that there will be funds to cover the check when it is ready to be cashed, it may not be a good idea to accept a postdated check.