To be explicitly precise, Wells Fargo will not honor a 'stop payment' on a check which has settled. The settlement date is not the same as the 'hold' date, they may release funds prior to the settlement date if you are a good customer, with the understanding that if the check is subsequently refused by the originating bank, or is shown to be invalid, the deposit will be reversed.
The most common scam that trips people up is the 'over amount' check where a "cashiers check" for more than the amount purchased is sent with the instructions to deposit the whole thing and just send back another check with the overage. When the check finally 'bounces' the check sent has already settled and you're out the amount of the overage (and possibly the item).
In this way writing a check is exactly the same as handing the person cash, once both banks agree the funds from one is in the other and the accounts are all updated, assuming it wasn't in error, and the other party doesn't have special privileges (there is an exemption that governments can pull back funds) the only way to reverse that transaction is a lawsuit. Well at least according the commercial banker who handles my business account at Wells Fargo.
The most common scam that trips people up is the 'over amount' check where a "cashiers check" for more than the amount purchased is sent with the instructions to deposit the whole thing and just send back another check with the overage. When the check finally 'bounces' the check sent has already settled and you're out the amount of the overage (and possibly the item).
In this way writing a check is exactly the same as handing the person cash, once both banks agree the funds from one is in the other and the accounts are all updated, assuming it wasn't in error, and the other party doesn't have special privileges (there is an exemption that governments can pull back funds) the only way to reverse that transaction is a lawsuit. Well at least according the commercial banker who handles my business account at Wells Fargo.