Can a bank/credit union do this?

A week ago we deposited a cheque into our account at our credit union; we have deposited a cheque like this every month for the past three years.

A few days ago the credit union called and the woman who took the cheque said she could not find it. She asked that we check that we didn't accidently bring it home. I checked our records (we keep that very organized) and we had no cheque but we did have the deposit slip and cheque stub.

Saturday, another person from the credit union called and said they cannot find the cheque so they are going to deduct the amount from our account until we have it reissued!

We told them under no terms are they to take the money out of our account! They are the ones who lost the cheque!

We gave them the address and phone number of the issuer, and the cheque number, and said that they need to do the research and call the company to see if the cheque cleared.

We are really disappointed in them right now! We're supposed to hear back today or tomorrow if the cheque has cleared or not. We feel they need to do the legwork and cover any costs for reissuing the cheque!

If we were responsible for losing the cheque, we wouldn't have had anything to deposit. What is wrong with people?

I don't think they can. You have the deposit slip. Proving you desposited the cheque. If they lost it, that is their responsiblility. Have you talked to the manager. I would go over the other persons head.

Make a photocopy of your deposit slip and cheque stub and take it to the manager.

The manager is the one who called us Saturday.

It was a foreign cheque (U.S.) so I know they can technically put a hold on it... but can they put a hold on the cheque until it clears, if they don't have it?

If it didn't clear, another will need to be issued, but what happens if the cheque cleared?

I got a letter from ym bank that said that a chq that I has deposited was stolen in an arrmored car robbery, and they needed to talk to the person the chq was from.
I was like "WOAH! hold on!" I went into my branch spoke to the manager and made certain it wasn't a con.
I was compleetly mistifies as to why a bank would admit an armored car was robbed in a letter and to please give us a call.
Being an honest person and knowing it was a cheque my parents had given me I gave the information to the bank.

I think the bank should be responcible in your situation to confirm the payment with the person who gave you the chq. Once you deposite the chq it becomes the bank's responcibility other than if it was an "empty envelope" deposite. I can also see the banks side thinking that since they don't have the chq it's your responcibility if you have a recipt for the transaction from a teller it should be their problem now.

I'd be inclined to agree that, as long as it was not an ATM deposit, and there was person to person contact in handing over the cheque for deposit, that the responsibility for the cheque has passed to the Credit Union, and they should be doing the leg work.

If your branch manager cannot, or will not, help you, your next line of enquiry should be the CEO of the Credit Union, as this is a business/service quality issue. If that does not bear fruit, I'd contact the Financial Institutions Commission (the regulatory body for credit unions in BC), and ask their advice as to how to proceed. They won't likely be able to deal with a complaint, because it's not a regulatory matter, but they may well have some wisdom for you as to who CAN help.

I appreciate the responses!

Originally Posted by rapunzel47

I'd be inclined to agree that, as long as it was not an ATM deposit, and there was person to person contact in handing over the cheque for deposit, that the responsibility for the cheque has passed to the Credit Union, and they should be doing the leg work.

If your branch manager cannot, or will not, help you, your next line of enquiry should be the CEO of the Credit Union, as this is a business/service quality issue. If that does not bear fruit, I'd contact the Financial Institutions Commission (the regulatory body for credit unions in BC), and ask their advice as to how to proceed. They won't likely be able to deal with a complaint, because it's not a regulatory matter, but they may well have some wisdom for you as to who CAN help.

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Thank you! Thank you!

I have no idea how the system works in different countries. But banks don't lose checks. That's down right impossible. At least it used to be. When did they call from when the check was deposited?

All checks going to a proofing center/clearing house then they are distributed from there to other clearing houses from there. It's all very technical.

However if you check somehow ended up in the trash, banks keep their garbage or at least they used to. Lord knows I used to have to bag and tag mine every single day.

If that check clears the remitters account, then it's YOUR banks error. You need to track that part of the puzzle down. In the meantime the bank can uh..what's the term I am looking for "front" the money in the account until the issue is solved. Obviously you have a good relationship with them this shouldn't be a problem.


Next I really need to touch on this:

I got a letter from ym bank that said that a chq that I has deposited was stolen in an arrmored car robbery, and they needed to talk to the person the chq was from.
I was like "WOAH! hold on!" I went into my branch spoke to the manager and made certain it wasn't a con.

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Where in the world do you live? I have never heard of such a thing as on armored car robbery with checks involved.

Armored cars should only be carrying cash, while banks have carrier services that pick up check deposits to transfer to the proofing/clearing house. They drive normal everyday cars.

If your banks throws it all in one bunch, I would change banks. Cause that's just weird!

Originally Posted by Breal76

I have no idea how the system works in different countries. But banks don't lose checks. That's down right impossible. At least it used to be. When did they call from when the check was deposited?

All checks going to a proofing center/clearing house then they are distributed from there to other clearing houses from there. It's all very technical.

However if you check somehow ended up in the trash, banks keep their garbage or at least they used to. Lord knows I used to have to bag and tag mine every single day.

If that check clears the remitters account, then it's YOUR banks error. You need to track that part of the puzzle down. In the meantime the bank can uh..what's the term I am looking for "front" the money in the account until the issue is solved. Obviously you have a good relationship with them this shouldn't be a problem.

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Thank you so much for this information! I apologize for not thanking you earlier. I read all the responses to my husband and we were encouraged that we knew what to do if this became a battle.


UPDATE:
The manager called yesterday (Tuesday) and said that the clearing house (now I know what that is) found the cheque. It was sent off with a Canadian cheque. She was nice this time.

She said that the bank teller also credited the cheque to two of our accounts so we're going to have to carefully check on that!

Glad to hear the cheque has surfaced and you are getting resolution on this.

Originally Posted by Breal76

Where in the world do you live? I have never heard of such a thing as on armored car robbery with checks involved.

Armored cars should only be carrying cash, while banks have carrier services that pick up check deposits to transfer to the proofing/clearing house. They drive normal everyday cars.

If your banks throws it all in one bunch, I would change banks. Cause that's just weird!

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I live Near Ottawa, I had deposited a Cheque at a Bank Machine and I guess when they emptied the machine the armmored car was robbed which took the cheque with them. Very wierd I know!

Originally Posted by Breal76

Where in the world do you live? I have never heard of such a thing as on armored car robbery with checks involved.

Armored cars should only be carrying cash, while banks have carrier services that pick up check deposits to transfer to the proofing/clearing house. They drive normal everyday cars.

If your banks throws it all in one bunch, I would change banks. Cause that's just weird!

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Armored cars pick up deposits in the atm whether it is cash or checks

although It would be nice if it were that easy if A bank doesnt have or looses a check they can't just pull the money from no where. Also if the bank contacted you because they lost a check that someone else deposited would you just write another check to them or would you contact the person who you wrote it to and see what happened? If it is a payroll check there are privacy laws so they can't just contact them either. I understand your position but at the same time mistakes happen and the bank can only do so much. They should have given you time to get a new check and if it did cost you to get that check reissued they should have covered that expense since it was there fault.
Unfortunately it's the same when your power or gas company looses a check. They make you do the research. They make you get a photo copy of the check if they cashed it or they tell you that you need to write a new check if not.

Originally Posted by Krazycatlover

although It would be nice if it were that easy if A bank doesnt have or looses a check they can't just pull the money from no where. Also if the bank contacted you because they lost a check that someone else deposited would you just write another check to them or would you contact the person who you wrote it to and see what happened? If it is a payroll check there are privacy laws so they can't just contact them either. I understand your position but at the same time mistakes happen and the bank can only do so much. They should have given you time to get a new check and if it did cost you to get that check reissued they should have covered that expense since it was there fault.
Unfortunately it's the same when your power or gas company looses a check. They make you do the research. They make you get a photo copy of the check if they cashed it or they tell you that you need to write a new check if not.

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They can pull it from the insurance they have to carry or the profits they make. Someone stole my banking info and put a fake deposit of $6k in an 'empty envelope' and then withdrew it - the bank had to replace the money in my account that I originally had, so they do have a reserve for when things like that happen.

The bank was not asking for a photocopy, they knew they had the cheque at some point, not the same as the gas company saying they never received it.

Oh and armoured vehicles pick up everything from my local branch, cash and cheques.

Originally Posted by icklemiss21

They can pull it from the insurance they have to carry or the profits they make. Someone stole my banking info and put a fake deposit of $6k in an 'empty envelope' and then withdrew it - the bank had to replace the money in my account that I originally had, so they do have a reserve for when things like that happen.

The bank was not asking for a photocopy, they knew they had the cheque at some point, not the same as the gas company saying they never received it.

Oh and armoured vehicles pick up everything from my local branch, cash and cheques.

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Yes your right they do but your situation is different. It is not like you could have gotten that money back regardless and the bank would do what they could to catch and prosecute this person. The bank is required by law to replace your money but in the other situation whether it is the right thing to do or not they are not required in the other situation. Also the bank was stupid to make an atm deposit available to you right away. Also of course they were not asking for a photo copy because the funds were never received by the bank from what it sounds, which means the bank it was written from wouldn't have a photo copy anyway. Just because bank makes it available doesn't mean they got the money. In fact anytime you deposit a check it can take up to 10 days sometimes longer for the bank to get those funds and if that check comes back as a bad check they will take it back from you. If the money came out of an account the gas company would ask for a photo copy and if their customer was unable to provide it or stated it had not been cashed yet they would ask them to write another check. In a situation where a check is lost the person should be able to get it replaced. Not only that a person could not only get a credit from the bank they could also go get the check replaced and get double the money. I'm not defending the bank I'm just saying how it works. It is definitely a pain for the customer and I do agree that the bank needs to do something like give the customer some time to get the check back and cover any costs that the customer is out because of the error.

In fact if someone came to you and said my friend needs to transfer money to me but I don't have an account with his bank so he is not able to do it and if the person asks you if their friend can transfer a thousand to you and you can just take it out and give it to them and they will pay you $200 to do this well the minute you take it out and hand it over that money is your responsibility and you are out if the other person is claiming fraud even if you were defrauded yourself. Kinda messed up but true.