Nationwide: will these cheques now bounce?

Milarky

I have written 3 cheques for £1000 each drawn on my Nationwide Flexaccount presented today. And I have an overdraft of £3000 - so these items have just cleared.

But there was also another payment in the works - £1000 transferred out with 'today's' date. This put me £1000 beyond my agreed overdraft. So I have just returned funds of £1000 from an external account - and this is now showing as a credit - also with today's date.

My mini-statement currently looks like this

17/12/2010

---

Personal Cheque

---

1000.00

---

1000.00DR
17/12/2010

---

Personal Cheque

---

1000.00

---

2000.00DR
17/12/2010

---

Personal Cheque

---

1000.00

---

3000.00DR
17/12/2010

---

Bill Payment

---

1000.00

---

4000.00DR
17/12/2010

---

Bank Credit

---

1000.00CR

---

3000.00DR

My concern is just whether all three cheques will have safely passed through - certainly 1 and 2 would have done because they wouldn't have taken me outside my overdraft.

The 'bill payment' actually left before the cheques - that's why it was honoured - I was still within my limit then.

The statement order is likely to remain (I don't think Nationwide are like some banks in that regard)

Thus it 'looks' as though I first had three cheques presented and allowed - all within my limit. 'Next', I made a manual bill payment which takes me outside my limit. Finally I make a refund from an external account - with the same date.

So my overdraft limit is exceeded 'intra-day' but the cheques had 'already' gone and by day's end I am within my limit again.

So can you (has anyone successfully) exceed a Nationwide overdraft during the day but escape charges by bringing the balance back into line before the end of that day?

Ta

premierfella

The way Nationwide works (or at least has done in the past) is to apply the debits to the account and (if they are being bounced) show them bounced later in the day. Their decision is based on cleared available balance at the end of the previous working day (so not influenced by today's credits).

You mention your overdraft limit, but have you checked what your reserve limit is (the limit up to which they will pay items). You can find this on a tab in the overdraft limit part of your internet banking. If it is £4000 or more, all the items will be paid.

Details on the reserve limit on the overdraft changes tab here:
http://www.nationwide.co.uk/current_account/rates.htm
I'm afraid I can't answer the question about charges if funds are credited intra-day.

Milarky

well they have done a 'correction' which was not there when I posted this morning so it looks like the third cheque has been bounced.

The order of payments has now been reversed by Nationwide - to appear thus:

17/12/2010

---

Bill Payment

---

1000.00

---

1000.00DR
17/12/2010

---

Personal Cheque

---

1000.00

---

2000.00DR
17/12/2010

---

Personal Cheque

---

1000.00

---

3000.00DR
17/12/2010

---

Personal Cheque

---

1000.00

---

4000.00DR
17/12/2010

---

Bank Credit

---

1000.00CR

---

3000.00DR
17/12/2010

---

Correction

---

1000.00CR

---

2000.00DR


The reason I appear to have been able to exceed my limit was that 'today's bill payment actually left after 8.30pm last night - while the account stood at 3000 available - then reduced to 2000 available (including o/d)

Dammit, I knew I should have taken a 'print screen' but I'm slipping up of late (just like I did sending a payment knowing the cheques would come in this morning.)

Actually I've just discovered something 'useful' when looking at the 'full' account history screen (my default screen is the min-statement - not always the best thing to do!) Nationwide is unlike other banks in giving themselves a day to 'fix' your statement. And of course I haven't been studying this (non-mini) for all the dates and times (etc) during each visit.

Thanks anyway - I'll now expect both a charge for the cheque and interest for using the overdraft on several dates.

realaledrinker

Best move to smile or the Co-op. I have regularly gone technically overdrawn and cleared the overdraft same day and have never been changed. In any event, they allow one "informal overdraft" (i.e. coque up) in any 365 day period without charge providing you put the account to rights within 7 days.

anamenottaken

realaledrinker wrote: »

Best move to smile or the Co-op. I have regularly gone technically overdrawn and cleared the overdraft same day and have never been changed. In any event, they allow one "informal overdraft" (i.e. coque up) in any 365 day period without charge providing you put the account to rights within 7 days.

You can add Lloyds TSB to the list of banks who give you a grace period of up to 3.30 pm to bring your account into line.

JuicyJesus

anamenottaken wrote: »

You can add Lloyds TSB to the list of banks who give you a grace period of up to 3.30 pm to bring your account into line.

And HSBC, but you have to call them once you've paid the money in to make sure everything's paid, and it all has to be before 3.30.