Paid by cheque but no bank account

mitch57

My 74 year old father-in-law has just received a cheque for a small policy he has been paying for the last 10 years.

He has no bank account and had been giving the money to my mother-in-law to pay for him every month.

My husband has contacted the firm to tell them this, and was told the only way to sort it out was for my father in law to go to a cheque cashing centre! He is housebound, any ideas how to get round this.

Should also point out my mother and father -in-law are divorced, but still friendly. Many thanks in advance.

smartiedriver_2

Hi Mitch

He could ask the company to re-write the cheque (issue another) and make it payable to someone else. Alternatively he could ask them to wire the money to someone else's account.

A crossed cheque (as they all are, now) cannot be paid into an account in the name of someone else - it's breaking the law (Cheques Act 1986).

mitch57

Thanks, hope to get it sorted out as the poor old love is getting in a right state about it all. My husband asked them if they could send a bankers draft, but was told it had to be cheque due to some tax reason?!?!

smartiedriver_2

TBH a bank draft is no different - they are still crossed and cannot be paid into someone else's account.

Don't know of any tax implication - but more likely they couldn't be bothered to arrange a draft.

JacksterD

mitch57 wrote: »

Thanks, hope to get it sorted out as the poor old love is getting in a right state about it all. My husband asked them if they could send a bankers draft, but was told it had to be cheque due to some tax reason?!?!

I imagine it will not have been tax reasons, but that bank drafts are both pricey and require someone to go down to the bank to get one.

grey_lady

Why not open a basic bank account?

I_luv_cats

grey_lady wrote: »

Why not open a basic bank account?

You can open some accounts online (maybe post?) and send on ID (if required)

ian_h

does he not even have a savings account, passbook or national savings post office account? anything?

I would have suggested A cheque Cashing Shop but that wont help if he's housebound, perhaps even a local credit union could help - open the account clear the cheque and then withdraw it, and they tend to be VERY local and understand the problems of elderly housebound relatives.

Good Luck

mitch57

He has not had a bank account for years! He has a basic post office account, but they would not accept the cheque as it's only for his pension to go in. He has no photographic ID other than his OAP bus pass. I'm beginning to think it's becoming impossible!!! My husband will prob have to take him down to one of those cheque cashing places and hope for the best!

AbbeyDhabi

mitch57 wrote: »

He has not had a bank account for years! He has a basic post office account, but they would not accept the cheque as it's only for his pension to go in. He has no photographic ID other than his OAP bus pass. I'm beginning to think it's becoming impossible!!! My husband will prob have to take him down to one of those cheque cashing places and hope for the best!

The Money Advice Service has a leaflet on proving your identity. Just scroll down and clcik on the proving your identity leaflet.

http://yourmoney.moneyadviceservice.org.uk/publications

Most banks are flexible to a degree in cases like this, especially if opening a basic account.

ses6jwg

Can he not just open a simple instant access savings account or a basic bank account with a normal high street bank?

I don't see why it's such a big deal and why you would need to resort to paying fees for cashing the cheque?

It doesn't matter if he has no photo ID.

A utility bill, council tax bill, coupled with a letter from the DWP about his pension/ winter fuel allowance or HMRC will often suffice, along with his bus pass.

Or even a paper based driving license if still in date?