Postdating check

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These checks are frequently used by customers who take out payday loans.

Most banks will honor a postdated check even though it is paid before the date on the check.

As a result, the transaction is not considered as issuance of a "bad check" since the creditor released the merchandise or performed the service in reliance of the check writer's promise to pay at some later date rather than in reliance of the check's negotiability.

Therefore, the protections offered to creditors under the various "bad check" laws may not apply.

For instance John issued a check worth P10,000.00 to Jenny.“If the prosecution fails to discharge its heavy burden, then it is not only the right of the accused to be freed, it becomes the Court’s constitutional duty to acquit him,” the appeals court said.

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The rules for postdated checks are outlined in Article 3, Section 113 of the Uniform Commercial Code.You’re writing a check to your landlord, but you don’t have enough money in your account.So you date the check a few days in advance — also called postdating it — hopingyour paycheck will clear by then. Here’s what you need to know about postdating and what you can do instead.» MORE: How to write a check Postdated checks and payees“It’s kind of a tricky scenario,” says Matt Foster, founder of the rental property search site i Rent and a landlord in Ventura, California.There is a down side to accepting post dated checks...If a creditor accepts a post-dated check in exchange for merchandise or services, in many jurisdictions the seller is considered to have extended credit to the issuer of that check.

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