Originally Posted by
TLD
When banks find out a “processing company” is really a front for gambling transactions, they sometimes close that company’s account. Whatever checks are outstanding then bounce.
This is why these processors are going from bank to bank, from state to state, and from country to country, constantly opening up new accounts. (And why posters should never be naming processors and where they bank in these threads.)
The good news is it’s usually not the case when a check bounces that the book (or the processor for that matter) is broke and your screwed. They’ll just re-issue you a check.
I had five checks bounce like that in 2007. All were replaced, with either a small bonus, or at least enough extra to cover the bank fees I proved to them I was charged at my end.
It’s going to be more of a problem for the company of which Sportsbetting.com is a part than most, because they issue a humongous number of payouts, and they are especially apt to overload their processors and push through so many as to raise red flags with banks. They’ll likely reissue you a check (at least I hope so, since I just got a check from them within the last few days, and if yours bounced, mine might well also), but their customer service is so inept and unresponsive that I wouldn’t be surprised if it takes a long time or you have to go through some excessive hassle.
In response to something else that was posted in this thread, your bank’s “cashing” your check doesn’t mean you’re home free. It means either 1) You have more than the amount of the check in your account already, so in effect you’re depositing the check and withdrawing an equal amount of your own money that’s already cleared, or 2) You’re a good enough customer that they’re in effect extending you credit for the amount of the check. What it doesn’t mean is that the check’s good, or they’re taking responsibility if it isn’t. You’re still 100% responsible if that check later turns out to be no good. They’ll just deduct it from your balance after the fact, and charge you the resulting fees on top of it.
To be on the safe side with these sportsbook checks, even if your bank is willing to give you the money for it immediately, it’s better to let it sit in your account for a short time to give them a chance to try to collect on it. They’ll usually know in a week or so if it’s bad, and well over 99% of the time they’ll know within a month. But if you let your bank balance drop below the amount of the check during that iffy phase, you run the risk of having your balance go negative and having anything from a minor to a major hassle with your bank.