postal chqs. are they cleared funds.

stolt

hi quick question, can a postal order be cancelled or bounced, do you have to wait for it to be cleared?

thanks

soolin

If it is crossed and has a payee then it needs to be paid into a bank and will take time to clear. Some banks will clear them as cash, but most don't anymore, so if you are relying on the cash being available it is probably best to check with your bank.

A crossed PO can bounce just like a cheque if the information on it does not match what the computer tells it should be there when it gets into clearing. Basically that means that if the typed amount has been interfered with by a scammer it will be noticed and refused.

An uncrossed cheque can be cashed over the counter at a PO and is completeyl OK. However uncrossed postal orders can be stolen or lost en route which is i itself a problem. I usually ask for my buyers , if they want to use a PO, to send it crossed and wait a couple of days for clearance.

Soo