Maturing Term Deposit could be issued by cheque- Not I hope!

Ifts

innovate wrote: »

OK, whilst I agree Clydesdale often seem to be living in a different age from the rest of us, there is nothing really unusual about the particular arrangement you describe. It's the same or very similar elsewhere. It's also hardly going to be an earth shattering amount that you will potentially lose due to your money being in transit for more than a couple of days. Their security token is a relatively recent addition but many banks have a £10K a day max limit for faster transfers.

Apart from Clydesdale Bank/Yorkshire Bank, in my experience most financial institutions return the maturing funds in one go paid directly into your linked account (that inc amounts up to £80K being repaid in one go via FP on the maturity date).

The £10K a day max limit for faster transfers that many banks have is I think for withdrawals from savings accounts etc as opposed to them reuniting maturing funds from a FRB.

Ifts

innovate wrote: »

NB. Do you mean your account matures Nov 2014? In which case, you have oodles of time and no excuse not to apply for the CAD and security token ,:-)

Yes sorry that was meant to be Nov 2014.

What I will do is probably wait a few months before maturity to see if they have any other option to return the maturing funds by then if not I am happy to have a cheque sent out (as at £15k per working day via FP will be similar to waiting 5 days to receive the cheque), it saves the hassle of opening yet another new acc with them and still only be able to withdraw £15k per working day.

innovate

Ifts wrote: »

Apart from Clydesdale Bank/Yorkshire Bank, in my experience most financial institutions return the maturing funds in one go paid directly into your linked account (that inc amounts up to £80K being repaid in one go via FP on the maturity date).
.

Why "apart from" YB/CB? Their terms do say where possible they'll transfer to the nominated account by the next business day.

I had assumed that you had concluded it would not be possible in your case, as had the OP. But perhaps I misunderstood and you both will have your payments made to the linked account. In which case, I regret I spent any time responding to this thread.

Ifts

innovate wrote: »

Why "apart from" YB/CB? Their terms do say where possible they'll transfer to the nominated account by the next business day.

I have just spoken to YB on the phone, and they told me its the same as when I took out the offer (there is a limit on how much they can pay out each working day even if I opened another cash account with them) so come maturity next year if they have a daily limit I will opt for the cheque option.

I paid into mine with a cheque (to verify I.D.) and as far as I remember they did not ask for nominated acc details hence the "apart from YB/CB" bit as others do for maturing funds to be returned to the customer.

As other FRB's with most other financial institutions accept a cheque (helps with I.D) to open it but upon maturity return your money back to you in one go via FP on the maturity date into your linked account.

Even you admit "whilst I agree Clydesdale often seem to be living in a different age from the rest of us"

SallySunshine

The term deposit, or fixed rate bond as I prefer to call it, was taken out 2 yrs ago at 4%, they are now offering 1.70% for another 2 years, rather shabby I think.

So, I wanted to withdraw the maturing funds and stick them in my Nationwide Loyalty account which is paying 2.10% (for now) until I decided where else to invest. however if it is by cheque , as my nearest branch is over 20 miles away I would either have to travel there to deposit it or post it.

I was told that if the original funding was from say, Santander, by electronic transfer then there would be no problem returning the maturing funds to that bank by the same method.

However, the original funding had to be a cheque so next month I'll put in the sort code for Santander which is my local (7 mls) main account holder and hope for the best, if not a cheque will have to be deposited with them and then, when cleared, moved over to Nationwide.

What a palaver, and yes, in future I will definitely check out what happens to maturing funds.

Just reminds me that years ago I had a bond maturing with my local Barclays, I had already got an account ready with Stroud and Swindon for a new bond. I was able to pay £25 and have the maturing Barclays money sent straight to S&S by Barclays staff.
Those were the days:)

mgdavid

it isn't Clydesdale's fault that you use a bank with the nearest branch 'over 20' (or is it 25?) miles away

Ifts

SallySunshine wrote: »

However, the original funding had to be a cheque

IIRC you are correct on this one, the original funding had to be a cheque.

Just reminds me that years ago I had a bond maturing with my local Barclays, I had already got an account ready with Stroud and Swindon for a new bond. I was able to pay £25 and have the maturing Barclays money sent straight to S&S by Barclays staff. Those were the days:)

Before faster payments some providers didn't make you wait 3 days for your maturing FRB funds to be returned to you. They sent the maturing funds or annual interest payment via CHAPS payment for free to your linked account (I think its either Rothschild Reserve or Close Brothers that did that).

Let us know how you get on, good luck.

chrissy19

Could anybody please advise me what would happen if the payment cheque for my Barclays Bond does not arrive and Barclays insists that it's been cashed? We have not reached that point yet, but my bond matured and Barclays re-invested it into a very low-interest bond and I had to write within 14 days to ask them to cancel it and send me my money. I did not want to send my bank details in a hand-written letter so requested a cheque. I left it several days and then phoned to ask what was happening. I was told that the bond had been cancelled and the cheque issued, but it could take up to five days to arrive. Five days later I phoned again to say it still hadn't arrived and I was told to allow a further two days. I have today phoned again and am now waiting to hear back from a supervisor regarding cancelling the cheque and making payment direct into my bank account. I am still waiting and would welcome any advice.

TCA

A cheque made payable to you could only be paid into a bank account in your name. If this has been done (and not by you), then some serious fraud has taken place. At the moment you're only experiencing delays thanks to the fact that many banks still operate as if in the dark ages. Don't worry about your cheque being cashed unless they say it has been.

Ifts

chrissy19 wrote: »

I did not want to send my bank details in a hand-written letter so requested a cheque.

There would have been no problems (that I'm aware off) sending your bank details in a hand-written letter - after all you give your bank details if you ever write a cheque (your sort code & acc number printed at bottom of every cheque).

I know its worrying when its you thats having to wait for money to be returned to you but try if you can not to worry too much and as previous poster said wait and see what the Barclay's supervisor has to say - hopefully they can cancel the cheque and make a payment direct into your bank account - easier all round.

Good luck