Cheque guarantee card

vinny666

I always thought that a cheque guarantee card was a guarantee to the recipient that a bank will pay them the value of the cheque, provided that the cheque is legitimately presented by the account holder and in accordance with the conditions of use of the Cheque Guarantee Card Scheme.

I recently tried to cash a cheque legitimately given to me, but the bank has refused to pay it saying there are no funds in the account. Does the bank have a legal obligation to pay the cheque?

opinions4u

Had you recorded the cheque card details on the back of the cheque yourself?

What was the specific reason given for not paying the cheque?

noh

And are those details valid?

Baldur

The requirements of the cheque guarantee scheme are shown here (under "How Does the Scheme Work?") - http://www.chequeandcredit.co.uk/information/-/page/cheque_guarantee_scheme/

vinny666

All the details have been recorded correctly and the card is valid. The only reason given by the bank is that there is insufficient funds in the account to cover the cheque

jonesMUFCforever

vinny666 wrote: »

All the details have been recorded correctly and the card is valid. The only reason given by the bank is that there is insufficient funds in the account to cover the cheque

You don't say which bank you paid it into but do I take it is the same bank as yours?

If that is so then technically they have disclosed information to you that they have not done so.
They should have processed the cheque and if needs be the bank could formally return the cheque to you - you then raise a formal complaint about this.

izools

The paying bank can still refuse if they have reasonable suspicion of fraud

omen666

They can still refuse it if there are no funds and it is correct;ly guaranteed

I would represent it again

jonesMUFCforever

omen666 wrote: »

They can still refuse it if there are no funds and it is correct;ly guaranteed

I would represent it again

No they can't- that is the whole purpose of the cheque GUARANTEE facility.

omen666

jonesMUFCforever wrote: »

No they can't- that is the whole purpose of the cheque GUARANTEE facility.

Yes they can and they do so and have been for some time

omen666

http://www.consumeractiongroup.co.uk/forum/natwest-bank/114227-guaranteed-cheque-dishonoured.html
http://www.theanswerbank.co.uk/Business-and-Finance/Question193564.html

Suggest you post when you know the facts as it does occur even if the requirements have been met