What does post dating a check do
Pamela Banks, senior policy counsel for our colleges at Consumers Union, tells Consumerist that sending a postdated check can be an indicator to the recipient that the check-writer is in dire financial straits.She says that many people who end up falling into predatory lending traps like payday loans have also used postdated checks to try to stave off debt collectors.However, in some other countries banks will not pay a check presented before the date written on it.While in the US the date on the check is the date on which it was (supposedly) written and as such is meaningless for obligation purposes, in many other countries the date on the check is the date If you write a post-dated cheque, under the clearing rules of the Canadian Payments Association (CPA), your cheque should not be cashed before the date that is written on it.But if the consumer gives notice to the bank, the institution must only wait 14 days before processing the note – even if that happens to be before the date on the check.Additionally, the only time a bank can be held liable for processing a postdated check before the indicated date is if that notice is still valid.
Unfortunately, the fact is that there’s generally no actual obligation to honor the date on a check.
[...] If a bank charges against the account of a customer a check before the date stated in the notice of postdating, the bank is liable for damages for the loss resulting from its act.
The loss may include damages for dishonor of subsequent items under Section 4-402. You're writing a future date on the check, not past, to ensure that the check will not be deposited before that day.
In which case, the CFPB says the institution may may be on the hook to cover damages such as the cost of overdrafts and other fees.
Consumer advocates who spoke with Consumerist say that while there are several reasons someone might think it’s a good idea to use a postdated check, it’s not generally recommended.