American check issued to a non-American

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seugene
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American check issued to a non-American

Post by seugene »

How can a non-US resident with no US bank account deposit [or somehow get the money out of] an American check? Or how can I, as an American citizen with a bank account, help him deposit or somehow get the value out of that check? It's my cousin in Ukraine, and he trusts me enough to even let me deposit the check to my name, and then pass the money on to him. Banks will not be cool with that though, I assume.

For some more context, it's an abandoned property claim situation with the state of Louisiana, and it's quite a lot of money, $33,000+. I asked if they can wire the funds, although in a previous conversation they said a check to his name is the only way to get the money.

His Ukrainian bank can't process an American check deposit. Central Bank of Ukraine went as far as to tell him that NO bank in Ukraine would be able to help. He might want to visit the American Consulate in Ukraine to see if they'd be able to help.

This is not investing-related, but it is definitely a "non-US" issue, so... my apologies for the off-topic, and thanks for any help / ideas you guys can provide.
livesoft
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Re: American check issued to a non-American

Post by livesoft »

When I lived in Europe, I got a check from my grandmother who lived in California. I just deposited it into my bank account in Europe and I was eventually credited with the money converted to the local currency with a fee subtracted. I just didn't care about the exchange rate nor fee on a $25 check. No hassles whatsoever. That's a benefit of the might US dollar and banking system.
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seugene
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Re: American check issued to a non-American

Post by seugene »

That did occur to him, but Ukrainian banks can't deposit his check, they said, mighty dollar or not.
furwut
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Re: American check issued to a non-American

Post by furwut »

Perhaps the non-US person can endorse the check over to you.
https://money.usnews.com/banking/articl ... right-time

Be prepared to wait awhile for the check to clear. Do not transfer any money until then.
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whodidntante
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Re: American check issued to a non-American

Post by whodidntante »

Back when people still thought checks were a good idea, it was possible to "sign over" a check to somebody else, which would grant them the right to deposit it. Checks are an anachronism and I suppose they kept all that traditional stuff in modern times. I would try that. Not sure if this could trigger gift taxes or any other glitches in the matrix.

I would explain the situation and ask the great state of Louisiana if they have a computer somewhere or phone to do a wire transfer; maybe look in the back.
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whodidntante
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Re: American check issued to a non-American

Post by whodidntante »

furwut wrote: Thu Mar 04, 2021 8:33 am Be prepared to wait awhile for the check to clear. Do not transfer any money until then.
Sure. I wouldn't personally think that Louisiana is good for it, either. :happy

Slightly more seriously, available is not equivalent to cleared. As many, many people who have been scammed will tell you. I don't know the worst-case times because I don't accept checks except from old people who I personally know.
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galawdawg
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Re: American check issued to a non-American

Post by galawdawg »

While your desire to assist your cousin is well-intentioned, this is a situation that is probably best left to him to resolve on his own. I believe your cousin is correct that Ukrainian banks will not cash or deposit checks drawn on US banks. There may be laws and regulations both in the US and in the Ukraine that would apply to a transfer of those funds from you to a Ukrainian resident. The fact that Ukrainian banks won't handle US checks is an indicator that such is likely to be the case. A possible outcome that could result is that the funds are seized and you and/or your cousin are subjected to legal consequences.

Your cousin may wish to visit the US consulate or contact an attorney in the Ukraine who is well-versed in their banking laws.

Good luck in whatever you decide.
furwut
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Re: American check issued to a non-American

Post by furwut »

Large US banks, like CitiBank, may have a presence in Ukraine. They may accept the check if the person opens an account.
https://favor.com.ua/en/company/citibank/
7eight9
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Re: American check issued to a non-American

Post by 7eight9 »

whodidntante wrote: Thu Mar 04, 2021 8:38 am Back when people still thought checks were a good idea, it was possible to "sign over" a check to somebody else, which would grant them the right to deposit it. Checks are an anachronism and I suppose they kept all that traditional stuff in modern times. I would try that. Not sure if this could trigger gift taxes or any other glitches in the matrix.

I would explain the situation and ask the great state of Louisiana if they have a computer somewhere or phone to do a wire transfer; maybe look in the back.
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ResearchMed
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Re: American check issued to a non-American

Post by ResearchMed »

furwut wrote: Thu Mar 04, 2021 8:33 am Perhaps the non-US person can endorse the check over to you.
https://money.usnews.com/banking/articl ... right-time

Be prepared to wait awhile for the check to clear. Do not transfer any money until then.
I'd try to have it endorsed to you.

But especially given the amount (it's not $10, after all) *and* the international issue, I'd also be prepared for an extra long wait.

I hope the money isn't needed immediately.

OTOH, how much do you trust this person AND the person who wrote/signed the check?
If that's genuinely not a problem for you (and you can afford the loss, just in case), then you could front some of the money to this person if needed.

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Watty
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Re: American check issued to a non-American

Post by Watty »

I would be cautious about trying to have him sign the check over to you. Even if they are technically allow your bank may have additional restrictions, like he might need to go with you to a branch so that they could verify his ID.

It would be best to talk to your bank first about what their requirements are.

If you are near Louisiana you might also check with the bank that issued the check to see if you can take it there to have them wire the money to him.

Just for brainstorming could he open a brokerage or bank account in some third country?
krasnall
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Re: American check issued to a non-American

Post by krasnall »

Watty wrote: Thu Mar 04, 2021 9:17 amJust for brainstorming could he open a brokerage or bank account in some third country?
It would be quite easy to open an account in Poland (neighboring country with 1M migrants from Ukraine) but as far as I know there is no retail bank cashing checks anymore (the last bank has discontinued this service last year). I've heard it's still possible in Germany.
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