cheque clearing time question

kissmeimposh

There's been lots of talk about quicker BACS clearing time for recieving payments.

Does this mean that wages paid by BACS from employers will arrive faster?

Also, if I pay out a check now, how long does it take for the funds to be taken from my account? Is going to take less time?

greyteam1959

Making and receiving payments will become quicker and in many cases almost immediate even between different banks.
Wages paid by BACS will not arrive faster because your employer specifies the date that he wants the wages to arrive in your bank account.
Cheques will not be affected as far as I know....to be honest nobody really wants anything to do with cheques anymore.....to slow to risky etc etc

kissmeimposh

Thanks merv.
Landlord still prefers checks for rent payments. Bank branch says it takes three days from the time she presents the cheque, for the funds to leave my aco!!!!; but now the telephone banking is telling me that funds are taken from the payer's account immediately upon presentation of a cheque. Which is true?

jonesMUFCforever

Both could be true.

If the drawer and the payee of a cheque happens to be with the same bank the chq will be debited to your account on the day it is paid in and cleared for the payee straightaway (if your bank has a live real time online banking system and there is sufficient funds in your account to pay the chq).

If you are with different banks then the chq goes through the clearing system - meaning it will take 2-3 days from being paid in to be debited from you account.

YorkshireBoy

http://www.apacs.org.uk/payment_options/APACS_246.swf

http://www.apacs.org.uk/payment_options/documents/246Consumerleafletfinal.pdf