receiving payment from a car dealer

RocketPig

a car dealer is buying my car, whats the best way for this? its a large sum of money...

a) cheque, i said no thanks, not that i distrust them, but you never know
b) BACS, they are HSBC and im with lloyds, could take 3-4 days to arrive
c) bankers draft, not sure about this?
d) CHAPS, same day, but would it mean us both waiting round for the full day until the funds have cleared?

please comment

hartcjhart

AFAIK chaps is straight away clearance

hartcjhart

The Clearing House Automated Payment System or CHAPS is a British company established in London in 1984, which offers same-day sterling fund transfers. CHAPS used to offer euro fund transfers, the service which is now closed. CHAPS is a member of the trade organisation APACS, and the EU-area settlement system TARGET.
A CHAPS transfer is initiated by the sender to move money to the recipient's account (at another banking institution) where the funds need to be available (cleared) the same working day. Unlike with a bank giro credit, no pre-printed slip specifying the recipient's details is required. Unlike cheques, the funds transfer is performed in real-time removing the issue of float or the potential for payments to be purposefully stopped by the sender, or returned due to insufficient funds, even after they appear to have arrived in the destination account.
CHAPS is used by 19 settlement banks including the Bank of England and over 400 sub member financial institutions. In its first year of operation, average daily transactions numbered 7,000 with a value of 5 billion pounds sterling. In 2004, twenty years later, average daily transactions numbered 130,000 with a value of 300 billion pounds sterling.[1]
CHAPS transfers are relatively expensive, with banks typically charging as much as £35 for a transfer. The cost of fast transfers and the slow speed of free transfers (such as BACS) is sometimes a subject of controversy in the UK,[2] although low value transactions are now available from CHAPS from its Faster Payments Service.[3]

neilmcl

Bank account transfers between different banks no longer take 3 working days or more and can often be done on the day.

vaio

CHAPS is instant and can't be bounced or stopped

Foggster

I would say CHAPS or Cash. However, I made an online payment between my account at Lloyds and my daughter's account at HSBC and I noticed it said it was a "faster payment" transaction and showed in my daughter's account with 2 hours!

ilovebanksMCMLXXXI

CHAPS is the way to go if you're worried

RocketPig

thought so about chaps, cheers.

property.advert

Fast payment direct to your account in seconds. He goes on to his computer and sends it to your account. You check your balance and there you go. Yes it does work for business accounts, I have them !

RocketPig

property.advert wrote: »

Fast payment direct to your account in seconds. He goes on to his computer and sends it to your account. You check your balance and there you go. Yes it does work for business accounts, I have them !

this can be reversed though cant it!