BankDirect - how long for a large check deposit to clear?

Discussion in 'American Airlines | AAdvantage' started by swag, Dec 26, 2011.  |  Print Topic

  1. swag
    Original Member

    swag Silver Member

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    My Capital One credit card just sent me 3 checks with some pretty favorable terms. There is no fee at all, they post as purchases instead of cash advances, and are not restricted to balance transfers. (Sadly, they don't earn C1 rewards).

    SO I was thinking I would write myself a check for close to my $20K credit limit and deposit in into BankDirect right after my monthly C1 bill closes. That gives me 7 weeks until I have to pay the C1 bill, so 7 weeks of earning AA miles from BD. On $20K, that's about 3500 miles.

    But how long will BD take to clear the check? Folks over on FT are saying it could take weeks(!); if it's going to be a month, and if I don't accrue miles until it clears, then this becomes much less worthwhile.

    Does anyone here have experience with large check deposits at BD? Would it help to split the deposit up across multiple checks (C1 sent me three of 'em)?
     
  2. davef139

    davef139 Gold Member

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    Checks should earn from deposit day although the funds may not be available for a few days. This should be true for any interest bear account, although you may need to poke through your T&C since its not money earning. Since the pushing of Check21 I have never seen a check not clear in 48hours unless they screwup and do not process it correctly.
     
  3. gleff
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    gleff Co-founder

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    BankDirect will often place a 5 day hold on especially large checks that I deposit. But they funds are part of my average balance meaning they should be earning miles.
     
    iolaire likes this.
  4. gleff
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    gleff Co-founder

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    I'll add just remember that your credit utilization will shoot up, and this does affect your credit score, not sure it's worth it for 3500 miles?
     
    iolaire likes this.

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