Answer:
The UCC provides guidance for the clearance of checks, but that isn't applicable here. There are no stale dated EFTs. I am aware of no limitation on when an item might not be payable.
The more common scenario is that the bank gets the debit request but simply doesn't apply it against the account. These may be held in limbo for a long period of time until the discrepancy is large enough to stand out. Then the reconciliation process begins and you match up accounts. AT that point, I'd debit whatever is in the account, which is needed for the debits, and begin the process of contacting them and requesting whatever is still unpaid. Additionally, you may notify customers after the fact that you are now debiting old transfers they had made. This puts them on notice and keeps everyone informed. You'd also notify your EFT area that they may get claims for what appear to be old transfers, which are still "claimable" under Reg. E.
[Editor's Note: The UCC provision on checks more than six months old (Section 4-404 in the model language for the statute) does not make these checks invalid. It makes them subject to return for date at the bank's option, unless the bank knows it is dealing with a check of such a vintage and that its customer does not want it paid (typically, that requires that an effective stop order be in place).]
First published on BankersOnline.com 6/12/06
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