Skip to content
Canajun Finances Home » A Reason not to Trust Cash?

A Reason not to Trust Cash?

Let me state that while I espouse the use of cash (as opposed to credit cards), I still don’t trust cash (completely) either.

How could someone not trust cash? It’s so universal and colourful (in Canada) how could you not trust Sir John A., or Wilfred Laurier? I used to completely trust in cash, but then an incident happened to a co-worker that has made me wary of money, from that day on.

The story is a simple one, the co-worker was going to move about $5,000 from one bank to another, and wanted to do it as cheaply as possible (i.e. with no fees), so he went to the bank where the money was coming out, and asked for it in cash. Extricating this amount of cash was not easy, but eventually the bank relented and gave him the cash (for no extra fee).

Off this acquaintance went to the bank where he was going to make the deposit, the teller while surprised to see that amount of cash, deposited the money, no questions asked, and voila, large amount of money moved with no fees, or charges for bank drafts, or so he thought.

The phone rang an hour later at this chap’s home, it was the bank, evidently there was a problem with his deposit, and they’d like him to come in.  He arrived at the bank, and the manager was there and ushered him into an office and the questions about where the large amount of cash came from? My friend replied it came from another bank, and that this was his way of saving service charges. The Bank Manager was very skeptical, because one of the bills deposited was in fact counterfeit. What the fudge?!?! Sure enough the bill was bogus, and the depositing bank refused to honour it thus the deposit was now $100 less (and there was a large service charge for the screwed up deposit too). My friend pleaded with the deposit bank, to no avail, he then went back from the withdrawing bank, and they said it was not possible for them to have given out a counterfeit note, so they were not going to help either.

After a great deal of arguing, and anguish my friend ended up $100 in the hole plus a whacking service charge, all in the name of saving $5.00 for a bank draft, hence my incomplete trust of cash.

Feel Free to Comment

  1. I was burned a couple times with counterfeit $20s in my restaurant for a total of roughly $100. In business, this stuff happens. I think the acquaintance should have written a check to open the account and closed the old account with another check. If he/she needed faster, negotiate no fee cashiers check. Many banks put a hold even on cashiers checks because they can be counterfeit too.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Verified by MonsterInsights