Question

Barry presents to Wake Bank for deposit in his account a check for $100 made out to him by Richard. Wake Bank provisionally credits Barry's account on Monday. When is payment final?

A) The payment is final on Tuesday.
B) The payment is final on Wednesday.
C) The payment is final on Thursday.
D) The payment is final on Friday.

Answer 1

The payment is final on Wednesday.

Step-by-step explanation:

The payment is final on Wednesday.

When a check is deposited into a bank account, it usually goes through a process called the check clearing process. During this process, the bank verifies the authenticity of the check and ensures that the account from which the check was drawn has sufficient funds. Once the check has cleared, the payment is considered final and the funds are made available in the account. In most cases, this process takes a few business days, so the payment in this scenario would be final on Wednesday.