Finance Questions? Ask a Financial Expert for Answers ASAP
Yes, all deposits can be traced back to the account of deposit because the depositing institution gives the paying institution its ACH info
It is not as easy to trace the purcahser of the MO because a cash purchaser could have gone to the store to buy it.
"Yes, all deposits can be traced back to the account of deposit because the depositing institution gives the paying institution its ACH info"
you have already lost me hear. What is the depositing institution and what is the paying institution?
Suppose my person A buys a draft at their bank with cash and the draft is made out to person B. Person A gives the draft to person B. Person B deposits the draft into their bank account. My current (though weak) understanding is that the paying institution is the bank that prints/gives the draft to person A and the depositing institution in the bank that person B deposits the draft into. Is this correct?
If it is correct, then my only remaining question is: how difficult is it for police to do such a trace?
A check or money order is nothing more than a request for a financial institution (bank) to pay another institution. When Person A writes a check or gets a money order, this is a request to send money to Person B's bank where it is cashed.
It is very easy for an investigator to trace back deposited funds if there is evidence of a crime.
If you were defrauded for a few hundred dollars, however, it's not worth the time and effort of the police to do such a seach. You can do your own research if you were the purchaser of the money order. If the deposit is related to a serious crime, such as grand theft or a murder, the police will certainly trace the funds.
I'm not sure what you are asking.
Someone calls the bank where the money was paid from and asks where the payment went to. You trace the money back one step at a time. Every transaction has a history.
You would have to start with the money order company to find out what bank they paid.
What exactly are you trying to accomplish? How large of a transaction are you trying to trace?
It depends on the laws in your state regarding banking privacy and it depends on whether the money order company is willing to help. You may need a court order.
Most banks don't issue their own money orders. Money order companies do that.
But, it makes no difference. You have to start the trace at the end of the line. Where ever the money was sent from.
It sounds like you need to hire a private investigator to assist you at this point. That would probably be the best option as they have tools and friends that can help you.
The answer to your original question is: YES, it can be traced. I am sorry, but I cannot give you exact step-by-step directions on how to do it in this forum.