A post-dated cheque is one that the recipient can encash on a future date. Such cheques are not payable until the date written on the face of the cheque. In the accounting books of both the issuer and the recipient, the transaction will not be recorded until the date provided on the cheque.

How do you account for post-dated checks?

From the perspective of the check issuer, there should be no journal entry to record the reduction in cash until the date listed on the check. From the perspective of the recipient, there should be no entry to record the increase in cash until the date listed on the check.

Do banks recognize post-dated checks?

A signed check immediately becomes legal tender that a bank can deposit or cash before the indicated date on the check. Therefore, a bank will be able to accept a check if it is dated and signed. Ask your bank or credit union for their specific policy for postdated checks in their account disclosures.

What is postdate check Philippines?

The post-dated check is the most common means of payment for a loan. It is a check that is written and issued by the debtor for a date in the future and may not be encashed or deposited until such time.

Can you cash a post-dated check early?

Can a bank or credit union cash a post-dated check before the date on the check? Yes. Banks and credit unions generally dont have to wait until the date you put on a check to cash it. However, state law may require the bank or credit union to wait to cash the check if you give it reasonable notice.

Can I deposit a post-dated check Philippines?

The 30-day grace period means that the loan or rent is not yet payable and, therefore, the post-dated check should not be deposited or, if deposited, the drawee bank should not process it, which means that there is no occasion for the PDC to be dishonored.

Can I cancel my post dated Cheques?

If a post-dated cheque you wrote is mistakenly processed before its date, you should contact your bank to let them know. The cheque can be returned and the amount credited back to your account up to the day before the date written on the cheque.