This is exactly how the MoneyNetwork checks work also. Call authorize the check and they freeze that money till it clears.
“No Overdraft” Check Writing: Starting today, Bluebird Members will have the ability to order Bluebird checks that they can use to pay bills and make purchases without worrying about insufficient funds or incurring overdraft fees because a Member’s funds are set aside during the pre-authorization process.
To preauthorize a Bluebird check, a customer will follow just two easy steps:
Obtain a unique authorization code online or through the Bluebird mobile app. Note: once a Bluebird check is pre-authorized, the funds associated with that check are immediately deducted from the customer’s balance, and are held until the check is presented for payment.
Write the authorization code on the check and give to the payee. This ensures for the customer that sufficient funds are available to cover the Bluebird check being written. The payee can confirm that sufficient funds are available by calling American Express.
Bluebird Members have access to one free checkbook until August 2013. Thereafter, Bluebird Members enrolled in direct deposit can receive their first checkbook of 50 checks at no charge, otherwise direct deposit and non-direct deposit users can order a book of 50 checks for $26 (including shipping).
Add More and From Home: In response to customer demand, the total Bluebird Account balance limit has increased to $100,000 per calendar year to allow Members to add more of their paychecks and large value checks. Additionally, Bluebird Members will now be able to add personal and government checks to their Bluebird accounts by mailing the check to American Express. Once the check has been successfully processed, the funds will be added directly to the Member’s Bluebird Account. There are no fees associated with this new capability."
