Cheques To Be Paid In Via Smartphone

Im an ex employee RBS Group
However Any Opinion Given On MSE Is Strictly My Own
«13456789

Comments

  • Buzby
    Buzby Posts: 8,275 Forumite
    Just playing catchup with US banks, who have offered this for the last 8 years. It was suppressed here as the banks hoped to kill off cheques last year - now that has been abandoned, they're reluctantly being forced to do it.
  • EarthBoy
    EarthBoy Posts: 3,024
    Name Dropper First Post First Anniversary
    Forumite
    I think the US still uses cheques a lot more than we do, so they probably have need for this system. Here, it's unlikely to breathe new life into a dying method of payment.
  • JuicyJesus
    JuicyJesus Posts: 3,825
    First Anniversary Combo Breaker First Post
    Forumite
    Two words: fraud magnet.
    urs sinserly,
    ~~joosy jeezus~~
  • Archi_Bald
    Archi_Bald Posts: 9,681
    Name Dropper First Post First Anniversary Combo Breaker
    Forumite
    It's obviously an improvement if the clearance is 2 days rather than 6, but why should Business owners be any more interested in cheques than they are now? With cards or faster payment, they can get their money the same day, and it most probably costs them less in charges. So anything but cheque is good for cashflow, and good for revenue. Add to that that there is no longer any guarantee that the cheque will actually be paid, and I doubt that this guarantee will be re-introduced. So what is the attraction for businesses?

    Looking at it from consumer point of view: I reckon that a lot of those who still like to use cheques probably don't even have, or want, a smartphone, let alone a banking app on their smartphone.

    I agree with Earthboy, it's a dying method of payment.

    Still, it sounds like an electioneering slogan "we reduced the cheque processing time from 6 to 2 days", alongside "we introduced 7 day bank switching".
  • Goldiegirl
    Goldiegirl Posts: 8,805
    First Anniversary First Post Rampant Recycler Hung up my suit!
    Forumite
    JuicyJesus wrote: »
    Two words: fraud magnet.

    I quite agree.

    The little bank that I work for checks most cheques under ultra violet light, to look for fraudulent alterations - not to mention just inspecting the cheque to make sure it's genuine, for example looking for perforations on the left hand edge of the cheque.

    I don't see how that could be done with a scanned image.
    Early retired - 18th December 2014
    If your dreams don't scare you, they're not big enough
  • pmduk
    pmduk Posts: 10,655
    First Anniversary Name Dropper First Post Combo Breaker
    Forumite
    Archi_Bald wrote: »
    Looking at it from consumer point of view: I reckon that a lot of those who still like to use cheques probably don't even have, or want, a smartphone, let alone a banking app on their smartphone.

    I agree with Earthboy, it's a dying method of payment.

    Whilst that was my first thought, the people choosing to write cheques are frequently not the people receiving them who are those most likely to benefit from the change.

    It still isn't likely to increase the use of this dying method of payment.
  • Macca83_2
    Macca83_2 Posts: 1,215 Forumite
    If a faster payment can arrive almost instantly, I don't understand why the clearance time for cheques can't be quicker. To me that sounds like a far more sensible idea than faffing about with your smart phone and taking pictures. How can a smart phone detect if a cheque has been washed or if the quality is poor?
  • KxMx
    KxMx Posts: 10,555
    First Post Name Dropper First Anniversary Photogenic
    Forumite
    While accepting that the US uses a higher volume of cheques; I think some of the nay-sayers here need to consider the US has had this system for 8 years, and i'm sure some of the issues people have flagged as cons to the system are dealt with/ solutions found.
  • chambta
    chambta Posts: 2,770
    First Anniversary Combo Breaker
    Forumite
    Aren't banks designing apps that allow the likes of 'Pay Your Contacts' that work in a similar way? Seems an odd development to me.
  • stclair
    stclair Posts: 6,843
    Name Dropper First Anniversary First Post
    Forumite
    chambta wrote: »
    Aren't banks designing apps that allow the likes of 'Pay Your Contacts' that work in a similar way? Seems an odd development to me.

    Yeah it appears so:

    http://www.paymentscouncil.org.uk/current_projects/mobile_payments/
    Im an ex employee RBS Group
    However Any Opinion Given On MSE Is Strictly My Own
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 341.8K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449.2K Spending & Discounts
  • 233.9K Work, Benefits & Business
  • 606.1K Mortgages, Homes & Bills
  • 172.5K Life & Family
  • 246.8K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards