Cheapest way to cash a US Dollar Cheque

shilcor

I've just sold some company shares and unfortunately they have paid me in the form of a cheque in US Dollars. A quick call into Barclays and Nationwide yesterday where I have bank accounts has confirmed that they both charge a fee for cashing a cheque in a non-stirling currency but neither were able to tell me exactly what the fee would be so they are phoning me back on Monday. The cheque is for 6175 US Dollars so I wondered if anyone had any ideas on what the cheapest way is to get this cheque cashed - any alternatives to lining the pockets of my UK banks.

newfoundglory

Is this drawn on a US bank? Open two current accounts with Citibank - one in sterling, and another in dollars. Deposit the cheque in dollar account in the UK free of charge (i think these are then cleared through citibank in new york).... then transfer online between dollar and sterling account.

But, a lot of hassle if you ask me tho...

However, its likely to take a number of months to clear a dollar cheque if its drawn on a US bank and you pay it into a UK sterling high street account (as they will post it over to the USA for payment), so you could argue its worth the hassle.... (since yours is for a larger sum, it may be well worth it)

newfoundglory

http://www.citibank.co.uk/personal/banking/bankingproducts/currentaccounts/usdollar/index.htm

jonesMUFCforever

Your cheque is worth approx £3000 so I would imagine that most high street banks would charge you around .25% with a minimum of around £10.
So I guess you will havee to pay around this figure as long as they negotiate the cheque on your behalf rather than collect the proceeds.(Collection would mean at least double the cost to you and longer to wait for the proceeds)
Go to the bank where you think you have the best account record.

sandollar

Thanks for the info but unfortunately I have a cheque for US$ 209.99 A small amount I know but it's taken me 4 months to get it from a US company!
In 2005 I bought an iPOd in Boston for my daughter and paid an extra $50 for 3 years insurance in case it broke - which it did. Six phone calls, three sets of faxed purchase information, 2 sets of posted information (the last by recorded delivery at £5) and the cheque finally arrived!
I took it into my Nationwide branch toay - only place I bank with - and was told it would cost £20 plus any extra charges the "receiving bank" may pass on. I would also have to sign a form giving them the right to debit my account for any such charges relating to the cheque in the months following its payment! What can I do to get my money at a reasonable charge? HELP!

jonesMUFCforever

Send it back (I know!!) and ask them to refund it to a plastic card (or even Paypal).
If you ask fior an electronic transfer they will probably charge you a fee and there will also be a fee this end for receiving it.

The only other way is to Google or search this site for cheque encashing services.I cannot vouch for their rates or charges as I have never had cause to use them.

rosysparkle

Try Eddie at auctionchex: https://www.auctionchex.com

sandollar

Many thanks "e" and "rosy". I am exchanging my cheque with auctionchex and hope to get a much fairer service. Will let you know what happens.

sandollar

Hi
Last week I got a cheque for £96 form auctionchex.com. so much for Nationwide and their £20+ charges !!
Thanks for the help

nollag2006

Note though that Auctionchex give really bad exchange rates - they are quoting $1.99 to the pound today, when the spot rate is $1.79

Agree that its good for smaller amounts though

jonesMUFCforever

nollag2006 wrote: »

Note though that Auctionchex give really bad exchange rates - they are quoting $1.99 to the pound today, when the spot rate is $1.79

Agree that its good for smaller amounts though

I think you are confusing the buy and sell rates.