How does cheque cashing work?

Soggymoggy_2

Hi all.

Does anyone know how cheque cashing works? My current employer pays me by cheque, which obviously creates a lag-time between my getting "paid" and actually having the money go into my account. I'm planning to leave in the second week of March (for a new job starting on the 9th - start-date unfortunately isn't negotiable), and although I'd like to show my boss the courtesy of giving him a week's notice I'm worried that he'll then cancel my cheque before it's had time to clear.

One of my colleagues has used a cheque-cashing service in the past and I'm considering this as a way to get most of my money and still be able to give notice without risking losing my pay. I don't know how it works though; if the cheque is stopped, would the company who've cashed it go after my boss or me?

If anyone knows how this works and could let me know it would be very helpful and very much appreciated!

Thanks.

Soggymoggy.

dzug1

If the cheque is stopped they will go after you - they will have all your details from the ID you have to take in when you cash the cheque.

They will at most know your boss's (or company) name and bank branch. And they have no contractual relationship with him and hence no right to pursue him.

Rafter

Soggy,

I think you employer is unlikely to do this, given they will be breaching employment law.

A cheque cashing company probably isn't the best route.

R.

cottager

Agree with Rafter: you're entitled to your pay no matter how inconvenient your leaving at a week's notice will be to your employer -- this is the most notice you're required to give, is it?
Depending when your company's holiday year runs from/to and how much you have taken already, you may also be entitled to some holiday pay, and possibly also (you don't say if you're weekly or monthly paid) something like your "week in hand" if this applied to you when you started your present job.
I have no experience of a cheque-cashing service, but aren't their fees high?

James

You will find just about everything you wish to know about cheque cashing in the link below

(CLICK HERE)

Mikeyorks

That's legitimate stuff, James.

The OP was contemplating the rather more dubious (and costly) services offered by 'Pay Day' loan, and related, outlets?

Mr.Mulla

Soggymoggy wrote: »

Hi all.
One of my colleagues has used a cheque-cashing service in the past and I'm considering this as a way to get most of my money and still be able to give notice without risking losing my pay. I don't know how it works though; if the cheque is stopped, would the company who've cashed it go after my boss or me?

The company where you've cashed it will for sure go after you of course because you're the one who cashed it. The funds came from your boss and they have the right to stop the payment if they have valid reasons.

simongregson

It would be illegal to stop your wages, so I doubt your boss would do it even if they were annoyed about you leaving. You will have a pay slip stating the amount you were entitled to be paid so if the cheque is stopped it would be a fairly open and shut case. If there is a problem, see your union rep or phone your union if you have one, or a solicitor specialising in employment law.