At Closing- It's All About the Money

Hi Dan, Interesting how that works isn't it? I used to have card company like that, but I changed accounts.  In fact, I think that particular Company has a class action suit against them.  We also used to do business with a bank that at the end of the business day, first deducted all the checks, sometimes creating an overdraft - then added in our deposits that were there that same day -- that was in the "olden days" - but we quit doing business with them too!

Hi Ann, I'm finally happy with my card company and bank too -- people still run into problems with their funds to close, or holds on their checks though! 

(Sellers are often surprised that the cashiers check representing their net proceeds doesn't immediately clear, either. )

Now, I really quiz the buyers right away, as to where the cash is, so we don't have anymore delays.

Hi Sylvie, I agree with you that wiring funds is the best course.  I know that there have been fraudulent "cashiers" checks, too -- still difficult for the ordinary consumer to understand it.  Also, many banks will not initiate a wire unless the customer goes into the bank!  Sometimes, I guess that creates a roadblock?  I appreciate your input on this, Sylvie!

Hi Debe, I think a wire transfer could be the new "green" topic!  Buyers who wire their money should have no problems.  Colorado is a table funding state, I think most sellers like to leave the table with the check in hand -- but again, he/she won't be able to take that money to the next closing, or spend it immediately, if there is a hold on his/her funds.- some hesitate when they are charged the wire fee too!

Sorry to hear about the buyer's "funding issue" on your sale -- it does seem that short of electronic transfer, many are running into delays/problems!  Hope it gets all worked out!  Thank you for your thoughts on this, Debe!

Hi Coleen, Yikes! at least you found out the day before! I hope your buyer did not already purchase his cashiers check, and then had to pay the wire fee also!! That would be upsetting!  I agree it makes sense, especially if the closing company is wiring the payoff -- wire in - wire out. Thanks for your comments tonight, I appreciate it!

Hi Caren, you are so right we are at the mercy of the banks.... like it or not. :-)  I agree, electronic transfer is the best.  Thanks for your thoughts today!

Hi Richard, Thanks for that information, how would you know until you got to the closing...about the watchlist, that is.

Hi Stacey-Ann -- in this electronic age, I don't understand a three week delay, and honestly, I still don't understand the 10 day hold! But, like Caren said, we are at the mercy of the Banks. 

I think it's important that buyers and sellers know the rules  eventhough we don't understand it :-)   Thanks for your take on this today!

Hi Sandy, The wrong routing #, Twice!!!??? I was trying to be positive...but I would positively be going nuts if my money was "out there" in space so to speak, with the wrong account # or routing # on it!!

This is a good lesson to give a little room for error, and start early.  I know on particularly busy days, ie: the last day of the month -- the Fed is buried in wires, and sometimes wires are delayed due to sheer volume.  Thanks for your input, I'm glad your buyer got his funds in time for closing!

Hi Ann - I don't know -- with all the computers in the world it seems there would be a quicker way to do things doesn't it? I'm sure some of it has to do with the way banks "Float" ---but it hurts the people who don't understand it or who are not aware. IMHO Thanks for your take on it, I appreciate it.

Ann, I would definitely like to be on that committee!

Hi Rich, Is New Mexico an escrow state?  I'm not sure if would work any different, but since we are a table funding state, we run into this a lot.  Thank you for stopping by this old post, I appreciate that.  and no, I can't even imagine trying to get a refund on a credit card purchase, but in all fairness the consumer should be able to collect interest on their funds if delayed.