Mobile check deposit holds funds for 5-7 business days even when the check is from the same bank

When an individual deposits a check via mobile deposit, banks routinely place extended holds of 5-7 business days on the funds, even when the check is drawn on the same institution or a well-known employer's payroll account. So what? A gig worker who receives a $1,200 payment by check on a Friday cannot access those funds until the following Thursday or Friday at the earliest. So what? During that hold period, they may not be able to pay rent due on the 1st, buy groceries, or fill their gas tank to get to work, even though the money technically exists and the check is completely valid. So what? They are forced to use high-interest cash advances on credit cards, payday loans, or borrow from friends and family to bridge the gap, incurring real financial costs for an artificial delay. So what? This erodes trust in the banking system and punishes people who receive payment by check rather than direct deposit, which is often not their choice but their employer's or client's. So what? It creates a two-tier system where salaried employees with direct deposit get instant access while hourly, gig, and freelance workers who are paid by check face systemic delays that cost them money and stress. The problem persists structurally because Regulation CC allows banks broad discretion on hold times, and banks use holds as a risk-management crutch rather than investing in real-time check verification systems. The Expedited Funds Availability Act is from 1987 and has not been meaningfully updated despite the existence of instant verification technology. Banks also earn float income on held funds.