Asked by Kevin Wiley Jr. on May 22, 2024
Verified
The UCC states that a customer can postdate a check and that the customer has no obligations to give the bank notice of the postdated check.
Postdate
To mark or assign a date to a document or check that is later than the actual date.
UCC
A broad set of regulations known as the Uniform Commercial Code is in place to manage all commercial dealings within the United States.
Customer
An individual or entity that purchases goods or services from another individual or entity, usually in a retail or business-to-business context.
- Acquire knowledge about the procedural requirements and legal effects of postdating checks, initiating stop payment orders, and check certification according to the Uniform Commercial Code.
Verified Answer
TC
Tanner CereghinoMay 26, 2024
Final Answer :
False
Explanation :
Under the Uniform Commercial Code (UCC), a customer who postdates a check is supposed to inform the bank about the postdated check. If the bank is not notified and the check is cashed early, the bank may not be liable for the premature cashing of the check.
Learning Objectives
- Acquire knowledge about the procedural requirements and legal effects of postdating checks, initiating stop payment orders, and check certification according to the Uniform Commercial Code.