Stale Check

Stale Check

A document that is a promise to pay money that is held for too long a period of time before being presented for payment.

A check is considered to be stale when it is outstanding for a period of six months or more. A bank is not obligated to pay a stale check.

Cross-references

Commercial Paper.

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In a case, a check payable on demand which was long overdue by about two and half years was considered a stale check. Failure of a payee to encash a check for more than ten years undoubtedly resulted in the check becoming stale.
What will then be the recourse of the payee of a stale check? Surely, he has not received payment and he should have a remedy.
"Citizens Bank allowed someone to cash a forged, year-old stale check....
After she retired last year, a credit union member brought in a stale check -- an old check that had been issued by the credit union but never cashed.
The credit union reviewed its ledger of stale checks, which showed Vickers reissued stale checks to pay her credit card bills.
After Vickers retired in 2015, a credit union member brought in a stale check - an old check that had been issued by the credit union but never cashed.
However, auditors noted that DOLE has not reverted the amounts in the stale check to the cash accounts as required under the rules.
A joint resolution is currently pending before Congress that would allow the replacement of the stale checks.
Just a few days before he was killed, Savellano led his Marine company in the recovery of P79 million in cash and stale checks at a house used as a sniper's nest by the Maute group.
Savellano was the commander of the 37th Marine Company of the Marine Battalion Landing Team that last week found P79 million in banknotes and stale checks in a house in Marawi that terrorists had used as a sniper's nest.
'But I don't want to connect it, unless there is evidence (linking them) with the money seized,' he continued, referring to the bundles of cash and stale checks worth P79 million that the military recovered from a house occupied by Maute snipers in Marawi.
Frederick Savellano of the 37th Marine Company found P52.2 million in banknotes and 'stale checks worth P23,776,386.71' inside a vault in the house.