Don't post-date cheques!

dchurch24

Would anyone be interested in petitioning the house of commons (when parlament is in once again), to pass legislation to get banks to 'clear' cheques the same day they are presented to the bank?

This has recently happened in Sweden, where of course now the subject of post-dating cheques would be moot.

I would organise it and set-up a web-site and on-line petition if anyone is interested.

lipidicman

stumcgoo wrote:

...only works with cheques that are folded top to bottom and that if you fold the cheque length ways it would take 5 days to clear....
...
Stu

So by length ways you mean with a long crease, well OK

But top to bottom would be the same - so I think your post was confusing. I know what you mean now though!

If you have a short fold it will be fine - and this is how I meant most chequaes are folded (in my holder as well)

JanCee

What has this got to do with post dated cheques?

Julienetmums

What's wrong with asking people to postdate cheques. It saves on postage and admin hassle?

We run a very reputable business and offer customers the option of paying in installments by 3 postdated cheques rather than the full amount up front. We store the cheques in a safe and bank them when the date is up. If we had to chase for the next installment each time it would be a real pain.

I really can't see the problem and hope our customers don't start being funny about this or we will have to withdraw the installment option.

The only banking problems we have encountered is those who pay by standing order, the banks have made several mistakes, in one case our customer was credited from our account rather than the other way around!!!

JanCee

The problem is one of trust. Banks no longer check individual cheques under £5000 for technicalities so your customers have to trust you not to pay them in all at once(which you obviously would'nt). But some companies are not so scrupulous and ask for post dated cheques and then bank them. :eek: This can cause all sorts of problems for peoples accounts and they usually blame the bank for not checking the date.

Julienetmums

Well my bank checks all the checks I pay in. As an example they gave me one back which was over 6 months old (this was a personal one not a business one). Maybe it depends which cashier you get.

andrewheath

If the person you give the cheque to decides to cash it you have only one line of defence. This is if the cashier at the bank they pay it into questions the date and doesnt accept it. If its accepted thats it, its in the system and theres nothing you can do.

The terms and conditions state that post-dated cheques are not allowed.

Also, If you have given, lets say, 3 cheques at once to a company (most commonly a cheque encashment services or "money shop") Even if you have guaranteed them, the bank can still "bounce" them. This is because there are strict rules about the amount of cheques you can g/tee to them on the same day and when they have to present them to the bank.

The Apacs website has some info about the whole UK Cheque system http://www.apacs.org.uk/

stumcgoo

JanCee wrote:

What has this got to do with post dated cheques?

It is just an alternative way to delay the debit from your bank account. Thought people how currently post dat cheques mikght find the info useful.

Anybody know about it?

Cheers
Stu

JanCee

The way you fold a cheque makes absolutely no difference to the amount of time it takes to clear.

JanCee

Julienetmums wrote:

Well my bank checks all the checks I pay in. As an example they gave me one back which was over 6 months old (this was a personal one not a business one). Maybe it depends which cashier you get.

You have hit the nail on the head there. I have worked with cashiers who have no idea what a post-dated cheque is let alone spot one going through!!! If the cashier at the point of deposit does'nt pick out the technical irregularities then there are no further checks made, unless the cheque is over £5k