Washington Mutual cashier's check payment stopped by phone call

[Sally08]

What are regulations regarding placing a stop payment on a cashier's check?

A Washington Mutual (WAMU) customer gave me a WAMU cashier's check for a security deposit on a rental unit to move in the following day. Within hours after formal walkthrough, key turnover, and security deposit/first month's rent payments by two cashier's checks, that WAMU customer wanted her money back from those two cashier's checks the next day.

Per my own bank manager's involvement, that WAMU customer was allowed to stop payment on the security deposit cashier's check based on a phone call about problems not noted (let alone documented as a "ding list") during the walkthrough of the vacant property.

Yet, my smaller bank indicates that a stop payment on a cashier's check is only allowed if the person signs an affidavit that the cashier's check was lost, stolen, or destroyed, which the WAMU customer obviously knew was not the case or she would not have been requesting via e-mail the return of her two payments to me the next day.

Due to my bank manager's intervention, the cashier's check was honored the second time, so at this point I have no "damages".

Needless to say, I will never accept payment of a cashier's check from WAMU again! And here I thought that cashier's checks were "cash equivalents"-

However, is there any place I can report the issue, since it undermines the credibility of legitimate cashier's checks for payments?

My understanding is that FDIC regulates smaller banks, while OCC likely regulates Washington Mutual (WAMU).

[tmosley]

You probably shouldn't accept payment from cashier's checks in any event, as they are very vulnerable to fraud.

On the other issues, I have no idea.

[Sally08]

Originally Posted by tmosley

You probably shouldn't accept payment from cashier's checks in any event, as they are very vulnerable to fraud.

I don't disagree with you.

In fact, although I don't believe this situation is a scam, it absolutely follows one of the Craigslist scams: http://www.craigslist.org/about/scams.html

FAKE CASHIER CHECKS & MONEY ORDERS ARE COMMON, and BANKS WILL CASH THEM AND THEN HOLD YOU RESPONSIBLE when the fake is discovered weeks later.

1. Person gave me 2 cashier's checks for security deposit and rent, including *two months prepaid rent*
2. I deposited the funds immediately
3. Person wanted full refund the next day (when nothing would have cleared, yet)
4. Person stopped payment on security deposit (who goofed with the other one - the person or another WAMU error?)

However, Craigslist also states: DEAL LOCALLY WITH FOLKS YOU CAN MEET IN PERSON - follow this one simple rule and you will avoid 99% of the scam attempts on craigslist.

This person's e-mail address is a local business. I was able to use the e-mail address and the business phone number.

The cashier's checks were from a WAMU bank branch between that work location and the rental property.

Relevant to RPFs, if someone needs to pay me $2000+ as a new tenant, where can they get that amount of *cash* to pay me?

Do I really want to drive away with that much *cash* with me? What if an accomplice is waiting down the street?

How would I know that the cash isn't counterfeit, either?

Nothing like an unreliable monetary system!

[Paul.Bearer.of.Injustice]

paypal?

[Sally08]

Originally Posted by Paul.Bearer.of.Injustice

paypal?

What would Paypal's fee be for $2000+?

Also, does that mean I could only rent to people who will set up Paypal accounts?

Craigslist also warned against wire transfers-

Money? What's that?

[Paul.Bearer.of.Injustice]

Originally Posted by Sally08

What would Paypal's fee be for $2000+?

Also, does that mean I could only rent to people who will set up Paypal accounts?

Craigslist also warned against wire transfers-

Money? What's that?

I think it's 3%. Not entirely sure though.
By limiting to tenants who use it, your chance of attracting white trash will probably decrease markedly.

[Sally08]

Originally Posted by Paul.Bearer.of.Injustice

I think it's 3%. Not entirely sure though.
By limiting to tenants who use it, your chance of attracting white trash will probably decrease markedly.

The problem has been finding *any* decent tenant interested in renting.

In this economy, the major complexes have changed their rules to allow "poor credit ratings" *if* the only problem is a foreclosure!

The tenant pool since 2000 has been the worst I have encountered (anyone with good credit *bought*). I have had to go to Small Claims Court several times, now, including blatant perjury by a tenant that the judge referred to as "obvious coaching" by the lawyer the tenant retained.

I just found out that Section 8 people are paying $1100+ for the identical unit that I am renting for less than $950, with at least three Section 8 rentals on that cul-de-sac.

So, "white trash" pays *more*?

To be honest, I don't want *my* name/bank information registered with Paypal, particularly if "Big Brother" will now be monitoring those transactions-

I also am very concerned about giving my information out for work background checks and credit reports. Would I be willing to risk giving out that information to a landlord of a single home?

I was considering renting out the second bedroom in my home, until I realized the tremendous risks of giving out the key to my home of possessions. What if I came home the second day to an empty home?

I know an older woman living alone who recently had her home broken into while she was at work - she assumed it was one of the lawncare crews working in the area who figured out her situation

[jonahtrainer]

Originally Posted by Sally08

What would Paypal's fee be for $2000+?

Also, does that mean I could only rent to people who will set up Paypal accounts?

Craigslist also warned against wire transfers-

Money? What's that?

Paypal sucks and they are expensive. A $2,000 transfer costs like $30+ transaction fee? Their payments can easily be reversed. I recommend GoldMoney although it may have some latent costs but you do have some protection against Big Brother with Jersey Channel Islands bank secrecy laws.

You may want to talk with the tenant to let them know you will not tolerate fraud. Simply find out if they are engaged in such and if relevant then report them to the FBI or police.

What would be even worse is coming home to an empty house that has been seized and confiscated by the DEA to fund their budget. Only rent to people you trust...

[Paul.Bearer.of.Injustice]

Originally Posted by Sally08

The problem has been finding *any* decent tenant interested in renting.

In this economy, the major complexes have changed their rules to allow "poor credit ratings" *if* the only problem is a foreclosure!

The tenant pool since 2000 has been the worst I have encountered (anyone with good credit *bought*). I have had to go to Small Claims Court several times, now, including blatant perjury by a tenant that the judge referred to as "obvious coaching" by the lawyer the tenant retained.

I just found out that Section 8 people are paying $1100+ for the identical unit that I am renting for less than $950, with at least three Section 8 rentals on that cul-de-sac.

So, "white trash" pays *more*?

To be honest, I don't want *my* name/bank information registered with Paypal, particularly if "Big Brother" will now be monitoring those transactions-

I also am very concerned about giving my information out for work background checks and credit reports. Would I be willing to risk giving out that information to a landlord of a single home?

I was considering renting out the second bedroom in my home, until I realized the tremendous risks of giving out the key to my home of possessions. What if I came home the second day to an empty home?

I know an older woman living alone who recently had her home broken into while she was at work - she assumed it was one of the lawncare crews working in the area who figured out her situation

Would you be OK with a potential tenant asking for your credit and background information to make sure you're a good landlord?
I've done that and it pisses them off... but if I'm giving them my info I want theirs. It's only fair.

[Sally08]

Originally Posted by Paul.Bearer.of.Injustice

Would you be OK with a potential tenant asking for your credit and background information to make sure you're a good landlord?
I've done that and it pisses them off... but if I'm giving them my info I want theirs. It's only fair.

Your reaction and the article below give very good reasons why people are now simply walking away from their homes vs. making any attempt to rent them out.

What happens when the rental home market simply "disappears" as a direct result? I can't imagine raising children in an apartment complex (or a tent city).

Big difference between checks on tenants vs. landlords:

The landlord is *owner of property* (that can be checked online for free via www.zabasearch.com) and is on record with the county, the state, and IRS for real estate taxes, as well as for rental income on state and federal tax returns.

Potential tenants can lie about anything/everything and *do*.

For example, one gave her sister's address and her sister as her "prior landlord" and then signed the lease.

When I pushed for her boyfriend's signature on the lease, I believe she actually forged it!

Six weeks after move-in (after 3 months of *vacancy* with only 8 calls in that time period), they still hadn't paid the other half of the security deposit. I told them they were in breach of the lease, to move out immediately or I would file the eviction paperwork in Small Claims Court within a week.

Although I had been told that the two had lived together for two years, I don't believe they had lived together before and I doubt that they ever saw each other again, either (I suspect he would have been shocked to see his "signature" making him party to any lawsuit/judgment!)

Oh, and the US Postal Service has changed its rules, so that only businesses can get forwarding addresses. That makes it extremely easy for tenants to simply "disappear", since there is no way to get their new address for service of legal papers.

As a Ron Paul supporter, do you think that these deadbeat tenants might be contributing to the real estate mortgage mess, when landlords cannot afford to pay *multiple* mortgages on rental properties where tenants have simply quit paying rent?

Look at these Big Brother "aids" for landlords below. As a Ron Paul supporter, do you think these are appropriate? Definitely look at the reply comments related to taxpayer support of Section 8 housing, as well.

http://www.suburbanchicagonews.com/b...ORD_S1.article
Aurora eyes initiative to help landlords

Housing initiative: May be a way to prevent the garbage piles, gang symbols and numerous police calls

Key portions of Aurora's crime-free housing initiative ordinances:

• Landlords required to attend training class and be certified by city

• Rental properties required to be registered with city

• Landlords have stronger ability to evict tenants who violate terms of lease

• City can declare as a nuisance any property deemed to generate "excessive" number of service calls for particular types of illegal activity

• Owners of nuisance properties can have their licenses suspended or revoked, and face fines.