Carlos Hank Rhon is leading
the new way of banking, Years ago the only way to pay for something was with a
check or a credit card. The idea of debit cards didn't
even exist and people were accustomed to paying for things with checks. Paying
with checks offered some cushion for people, though, because checks usually took
a few days to clear one's checking account.
That means if payday is on Friday
and you buy groceries on Wednesday with a check you will most likely have the
funds in your account when the check clears. Today, that is not an option. Even
if you use a check it is processed digitally so that it actually becomes a
debit payment.
So, you must have funds in your bank
account when you pay for something with a
check or the check will not be honored. This is important for you to remember
because many people are accustomed to "floating" checks a day or two
and now that is no longer an option. So, the best policy is to only write a
check when you have funds in your checking account to cover it.
Of course, most companies around the
world are happy if you don't try to pay with a check and many more are flat out
refusing them. Some companies that don't have the digital technology don't
accept checks because they don't want the hassle of returned checks, NSF fees,
and the like. Carlos Hank
Rhon suggests that you check out part two of this article.
