Bank Not Accepting Cheque

Arwen31

About 20/25 year ago my Gran set up with her bank Lloyds to allow my Mum to sign her cheques (completing an authority one form). Over the years my mum has signed the odd cheque on her behalf and never had an issue. Now my Gran has gotten very old her writting is bad, so my mum now signs them for her, not that Gran issues that many. Lloyds now for some reason say they won't accept these cheques and to change anything my Gran has to come into the bank to sort it out!!!!! :mad: Gran's not mobile enough to get to the bank and why should she when it was sorted out years ago? I know mum could get power of attorney but that seems a lot of bother and cost for such a silly thing. Has anyone got any suggestions? Mum is planning on going into the bank to complain, but it's knowing what to say that can make all the difference.
Thanks

dzug1

You need to find out what the 'for some reason' is before you can reasonably challnge it.

mummytotwo_3

Unfortunately there is not a lot that can be done unless, your mum becomes an authorised signatory on the account - ie it becomes a joint account between your mum and gran, or the power of attorney option.
As so much fraud is committed these days the banks are now tightening their rules, especially if this was just an agreement with an named individual at the branch whom knew both your gran and mum. Unless this agreement is documented anywhere at the branch im afraid nothing will change the banks decision.

jonesMUFCforever

Authority 1 - was the form used to have someone signing on the account when authorities were kept in branch and each branch got its own cheque clearing every morning.
Nowadays everything has been centralised and electronified (if there is such a word) and your gran's account is affected when your mum signs the cheques.

To sort once and for all ask the bank for a Third party authority - take it home and get Gran to sign it and mum to complete her details as signatory - if she is an existing customer she does not need to confirm her identity or address - if not then a passport and driving licence will do the trick.
Within a week of the form being completed correctly your mum will get a letter saying she can sign and all the details including up to date signatures will be on the bank's database.

A bit of a pain now I know but the bank has to be sure before paying a cheque that the transaction is genuine - not very practical when the original authority is sitting in a strongroom/filing cabinet somewhere gathering dust whilst the cheque ends up in a massive bank clearing centre - a decision to pay has to be made within 24 hours - not enough time to contact Gran every time.