Q:
What is the definition of "certified funds"?
A:
Quick Answer
Certified funds are monies that are guaranteed by the bank. When a bank issues certified funds, the monies are already taken from the customer's bank account and are guaranteed to be available to the creditor, according to About.com.
Continue Reading
Credit:
Roger Spooner
Photographer's Choice RF
Getty Images
Full Answer
According to Select CD Rates, a bank can disperse certified funds as a certified check, cashier's check, money order or wire transfer. In each of these instances, the funds must be immediately available and given to the bank before the bank can issue the certified funds payment.
The Missouri Department of Insurance explains that a certified funds payment may be required for some large purchases, such as the down payment for purchasing a home, as a method of guarantee of funds for the seller.
Learn more about Personal BankingRelated Questions
-
Q:
What is the difference between a bank draft and a check?
A: A bank draft offers guaranteed funding, as the institution issuing it has already collected money to cover its value, while a check draws funds from an ind... Full Answer >Filed Under: -
Q:
How long can a bank hold a check before you can draw on it?
A: The length of time a bank can withhold the availability of funds from a check depends on the type of check, the amount of time the account has been active,... Full Answer >Filed Under: -
Q:
What onilne services does Associated Bank offer?
A: Associated Bank offers a range of online banking services for its customers, including access to account balances and transaction history, an online bill p... Full Answer >Filed Under: -
Q:
What is a certified bank draft?
A: A certified bank draft is a form of payment with guaranteed funds availability that a bank issues. Before issuing the certified bank draft, the teller look... Full Answer >Filed Under:
You May Also Like
-
Q:
Can PTCL bills be paid online with a credit card instead of a check?
-
Q:
What is the definition of an alcoholic?
-
Q:
How can a person get the Emerald prepaid card?
-
Q:
Can a Visa gift card be managed online?
-
Q:
What number do you dial to check your Visa card balance?
-
Q:
What is the scientific definition of time?
