[newgeezer]

But can he go to your bank after the check has cleared and take it back out of your account?

That's exactly what happens if he stops payment on a paper check after you've deposited it in your account. As long as he stops payment before it clears HIS account, you lose, just like the ACH process you're talking about. One is electronic; the other is paper.

[The Ghost of FReepers Past]

Nope. An auto deposit starts out by clearing his account. It goes to his bank FIRST, then to yours. The funds are immediately available to you because they have already cleared his bank.

[The Ghost of FReepers Past]

A check originates with the writer, goes to the payee's bank first, then it goes to the bank it was drawn on. Of course you can stop a check before it reaches your bank. But cannot stop payment on a check after it has cleared your bank.

ACH payroll transactions are different. They orignate with the signer and clear his bank BEFORE they get to the payee's bank.

Go ahead and give your employer the right to debit your account if you want. It's your risk. I'm just warning you.

[The Ghost of FReepers Past]

Let's say I work in payroll and I decide to debit my employer's account a few days early for my pay and just not tell him about it. Would you have a problem with that? Would I have committed a crime?