Bounced and Represented cheque charges

UsetheFORCE

I wrote a cheque out to my landlord and banked it into his account, I expected the money into the account the cheque was drawn on BEFORE the cheque was presented for payment to my bank.
Long story short, it bounced and my landlord contacted me and I had the funds to pay him directly.

So I paid him then went to see bank a few days later to see if they would waive the charge, £35 which is scandalous in itself! They said they would refund ONE of the charges, apparently I had TWO as the Payee's bank had automatically represented the cheque.

Now if I am liable for the first attempt, fine but I wasn't aware MY bank would instruct the payee's bank to represent the cheque as if I had known they were intending to do this then I would of ensured the funds were in that account when the cheque was represented rather than arranging to pay my landlord direct.

My bank only let me know the first attempt failed AFTER the SECOND attempt!!!

I have been through my account terms and conditions and see no mention of these processes.


Any advice on what I should do about this???

This is the FIRST and last cheque out of that account as I have ripped it up and made some confetti for my branch!!!

Regards

DevCoder

You do know that it is against T&C's of your bank account to write a cheque when there isn't cleared funds?

Banks will attempt a representation of the cheque by default.

opinions4u

Any advice on what I should do about this???

Make sure you have money in your account to cover any cheques drawn.

You have no complaint. Once you've drawn the cheque the payee or their bank can present it as many times as they like until it's honoured. It is your promise to pay. Don't make promises you can't keep.

Your terms and conditions and the charging tariff will tell you what the charge is for each occasion it happens.

UsetheFORCE

krisdorey wrote: »

You do know that it is against T&C's of your bank account to write a cheque when there isn't cleared funds?

Banks will attempt a representation of the cheque by default.

With regard to your first point, where in my terms and conditions does it say this? The account is with Yorkshire Bank.

In regard to your second, it doesn't tell me that in my terms and conditions and I have read and re-read them many times!

UsetheFORCE

opinions4u wrote: »

Make sure you have money in your account to cover any cheques drawn.

You have no complaint. Once you've drawn the cheque the payee or their bank can present it as many times as they like until it's honoured.

Your terms and conditions and the charging tariff will tell you what the charge is for each occasion it happens.

I had every expectation that the money would be in my account before the presentation occurred.

So the cartel that is the banks can unilaterally without recourse to either party whose account it actually is, keep pushing a cheque either way! In the meantime racking up charges.

dalesrider

You won't find anythinf in the t/c about a cheque being represented. That is standard practise.
You gave the promise to pay to your landlord in good faith, that when he preseneted it at his bank it would be honoured. Due to you not having the funds it was returned. So his bank will have started the process again. Most will go through 2nd time. As like you people have misscaculted on the timings.

Its tough, but you will have to stand the costs.

Perhaps paying via standing order or DD. Or simply sending a faster payment would be better.

opinions4u

UsetheFORCE wrote: »

I had every expectation that the money would be in my account before the presentation occurred.

But it wasn't. If that's the bank's fault then talk to them.

So the cartel that is the banks can unilaterally without recourse to either party whose account it actually is, keep pushing a cheque either way! In the meantime racking up charges.

You gave them authority to do that when you signed the cheque and handed it over without having the money in your account.

pmduk

In some states of America you can be arrested for writing a cheque without the funds to cover it.

UsetheFORCE

opinions4u wrote: »

But it wasn't. If that's the bank's fault then talk to them.

You gave them authority to do that when you signed the cheque and handed it over without having the money in your account.

Did I? So they don't have to tell me how they are going to deal with something?

As far as I can see, I gave them authority to pay my landlord the sum of the cheque, I didn't give them authority to instruct my landlords bank to automatically represent a cheque without them notifying me of what they intend to do in order that I can remedy the situation.

Had I known that the cheque had bounced and would be represented then I wouldn't of settled by Faster Payment directly with my landlord.

My landlord didn't represent my cheque, his bank did without requesting them to do so!

This was my first cheque and will be the last, if they don't explain in the terms and conditions what is going to happen then I shouldn't be responsible for what they and my landlords bank unilaterally decide to do!

UsetheFORCE

It is a criminal offence to knowingly write a cheque for which you have insufficient funds to clear.



Well I didn't, I knew a payment was expected in to cover the value of the cheque prior to it being presented for payment.

lolavix

UsetheFORCE wrote: »

It is a criminal offence to knowingly write a cheque for which you have insufficient funds to clear.



Well I didn't, I knew a payment was expected in to cover the value of the cheque prior to it being presented for payment.

So did you write the cheque out the day the funds were in the account? Obviously not, no bank error there.

Just because a payment is 'expected', doesn't mean that it's guaranteed