20 year financial industry veteran here. Depends on the bank, but typically they do. There is also a higher chance that the funds won't be made available to the payee immediately. The item has to be sent off for collection. This used to take quite a few days because it was a physical process. Now that Check 21 is fully enabled in the States I'm not sure if collection items are sent electronically now (thus speeding up the process) or if it's still a physical process. Regardless, there's normally some fee associated with the collection process.