Post Dated Cheques

Paul_Herring

http://news.bbc.co.uk/1/hi/programmes/moneybox/3537727.stm

http://www.bba.org.uk/bba/jsp/polopoly.jsp?d=263&a=1531&view=print

http://www.chequeandcredit.co.uk/faqs/-/page/post-dated_cheques/

dzug1

I very much doubt if a solicitor would be able to receive direct debits.

A standing order might be more appropriate if you don't want cheques

shellsuit

Don't send them post dated cheques, just send one off to them each month as it comes.

My OH did this (well it was only 2 months worth) and the company banked them both together ~ result, not enough money in account and OH was charged for the bounced cheque AND for being overdrawn.

You dictate when you will pay, don't let them dictate to you.

Rusty!

Standing order is what I would go for, same result, less of the complications.

cottager

OH has a hefty combined insurance premium to pay every March covering all aspects of his business, done through a broker for the past seven years or so, and as a service they accept the premium in 3 instalments, payable to them rather than the ins co (which may change from year to year), one for March paid in immediately, and 2 post-dated for Apr/May. Never had a problem with them being presented too early. Pretty sure it was the broker's suggestion, and as a sole trader/small business it certainly helps us out spreading it slightly... in fact thinking back I'm sure the brokers we used before always did the same thing so it's been the norm for a lot of years.

TBH I can't remember how it came about now, apart from the obvious of being to our advantage -- possibly either the insurance company/ies won't accept instalments for this type of policy, or maybe if they do there's a fair old surcharge for not paying it as a single lump-sum premium, which the brokers are saving us by doing it this way (they make no obvious extra charge themselves, as it's literally the premium on the insurance co's documentation each year divided by 3). In return I imagine the brokers prefer to have the post-dated cheques for 'good will' and a tangible intent to pay, rather than rely on us to send the second two on time.