Can a cheque guarantee card be declined?

MarkyMarkD

It's Transax!

Just because they do it doesn't make it acceptable from the point of view of your bank.

Just to be clear about some of the previous posts, there is in practice no way AT ALL that any bank is going to check the date the cheque was actually written to see whether you had funds at that time. But it remains true that the terms and conditions of every bank require you to have funds in your account when you write the cheque, not when you expect it to clear.

Lucymiss

Sorry - Transax, can't get my head around that name.:mad: Yes, I know what you are saying though regarding the T&C's of your bank.
In my bad old days I used to do a few with Cash Generator and used to ask the person at Cash G to give me the definate date they would be cashing the cheque. :rolleyes:

MarkyMarkD

I'm glad you're reformed - paying 2% for a month's loan is not good VFM.

Melly31

Can anyone help me?
Used my cheque book & cheque guarantee card, everything was spot on until a direct debit was paid twice in error!
Now my bank Intelligent Finance have not honoured the cheque?
The cheque guarantee card details where on the back of the cheque-they where written correctly & the card does not expire til Oct 2009? The cheque written was for £100 & the cheque guarantee card was for £100?
I thought that a cheque cannot be bounced if you use a cheque guarantee card?

RugbyPete

should have gone through.

The only time i had a cheque bounce was when it was over the guaranteed limit at a supermarket who accepted it.

I you sure the recipient didnt get paid?

Also, Tesco now have a balance checker. If you dont have funds in there to make the guaranteed cheque (ie.waiting for funds to clear next day etc.), it wont go through (as if you were using a debit card). Others dont check and only try the account when the cheque clears in 2-3 days. Embarrassingly i had to give back a full £200 christmas shop in tesco, made the same purchases in asda and walked away fine (and of course they profitted)

Lets be honest, you use cheques when hard cash isnt available!

Jersy

UKTigerlily wrote: »

I work in retail & we swipe the card, I know it tells us if a card needs to be retained (Is reported stolen, misused etc) so maybe that's why, as it wouldn't be able to tell us else, but yes it should go through no worries

i disagree..

our systems come up as "call mr robinson" when its a stolen/cancelled card.. basically so that the operater doesnt flap about and start shouting stolen card.

however, cheques can be declined.

somes they request that transanx is rung to get voice authorisation on the card, and at other times they are point blank refused and ask for alternative tender

LittleVoice

bargains83 wrote: »

In which case they would just use their debit card, why go to the trouble of writing a cheque?. I can't think of one place which accepts a cheque card but doesn't take debit cards.

Which is exactly the right assumption, it would say to me that either the money isn't in the account right now or they have other plans for the money in the account at that time and thats why they want the retailer to take payment later. It can be the only reason, otherwise again, why would you use Cheque Guarantee over debit card?.

Here's another reason -

the debit card is probably also a cheque guarantee card but to use it as a debit card I have to use a PIN. If I can't remember the PIN, I have to use the card as a guarantee card.

Must say, however, that it is a very long time since I have actually used a cheque guarantee card as such.

bengal-stripe

Melly31 wrote: »

The cheque guarantee card details where on the back of the cheque-they where written correctly & the card does not expire til Oct 2009? The cheque written was for £100 & the cheque guarantee card was for £100?

Who wrote the card details? They have to be written by the person who receives the cheque, not the person who writes the cheque. A cheque is only guarantied if its for a single transaction. You are not allowed to split a larger transaction into two or more cheques. (That's why shops who want to get around that rule, ask for a series cheques, with different dates, which will be banked on different days.)

I thought that a cheque cannot be bounced if you use a cheque guarantee card.

Anyone who relies on that and begins to write out dodgy cheque is likely to find him/herself pretty fast without chequebook and card.

Tribulation

About 12 years ago I was making a purchase below my guarantee limit with ample funds in my account to cover it.

The shop used Transax and for some reason (still unknown) Transax told the shop to refuse my cheque. Shops loss, they lost a sale.

With regards to checking the date on a cheque, I was told by First Direct that I could put any date on a cheque and they would still honour it. I found this out after spotting a holiday deal that was too good to miss and asking the travel agency if it would still be available in 2 weeks time when I got paid. No worries the agency said, write us a post dated cheque now, we'll keep it in our safe for 2 weeks, and we can reserve the holiday now.

You know what I'm going to say The travel agency didn't wait 2 weeks, First Direct cleared the cheque making me unofficially overdrawn, then went on to charge me numerous fees for bouncing my DD's that would have gone through had the cheque not been cleared, which resulted in me ending up owing over £300 in charges (including late payment fees from companies who's DD's had bounced).

When I protested to First Direct for clearing a cheque without the correct date on, they said that they were legally entitled to do so and there's absolutely nothing they were prepared to do about it. Ended up closing the account (and paying charges which was about 9 years ago so wont get them back).

natweststaffmember

I think that is because the bank have clause. You should not write post dated cheques but we reserve the right to pay a post dated cheque or words to that effect. Hope you got em on the charges bit though.