Bank Charges

jellybrain

Can anyone tell me if banks are allowed to bounce a cheque in order to collect their charges? This bounced cheque will now incur another £15 fee, their charges have taken me slightly into an unauthorised overdraft which will also now be charged! Any advice?

opinions4u

Any advice?

Don't write cheques when you aren't going to leave available funds in your account to cover the payment.

Can anyone tell me if banks are allowed to bounce a cheque in order to collect their charges?

They tend to bounce a cheque if you don't have enough funds in your account. Some (most) will then charge you for this. As laid out in their charging tariff. Which they advise you of. And you accept.

Archi_Bald

You need to check your bank's charges - they are usually published on leaflets they mail to you / can be picked up in Branch, and you can also find them on the internet. £15 for a bounced cheque doesn't seem out of the ordinary.

jellybrain

The cheque would have cleared if they didn't take their charges. They were added to my online statement after the cheque was presented then they bounced the cheque to cover their fees

BillJones

jellybrain wrote: »

Can anyone tell me if banks are allowed to bounce a cheque in order to...

This implies that it was not bounced becauuse of lack of funds, is that what you are saying?

opinions4u

jellybrain wrote: »

The cheque would have cleared if they didn't take their charges. They were added to my online statement after the cheque was presented then they bounced the cheque to cover their fees

Pre-advised charges applied to the account the same day as the cheque came through for payment.

Your responsibility. Your error. Yes, they can do this.

Hominu

jellybrain wrote: »

The cheque would have cleared if they didn't take their charges. They were added to my online statement after the cheque was presented then they bounced the cheque to cover their fees

They would have sent you a letter telling you when they were going to take the charges. The cheque will cost you £15, if you don't have that in your account, expect another letter telling you of more charges that you'll get next month.

Aquamania

jellybrain wrote: »

Can anyone tell me if banks are allowed to bounce a cheque in order to collect their charges? This bounced cheque will now incur another £15 fee, their charges have taken me slightly into an unauthorised overdraft which will also now be charged! Any advice?

jellybrain wrote: »

The cheque would have cleared if they didn't take their charges. They were added to my online statement after the cheque was presented then they bounced the cheque to cover their fees

According to your version of accounts, the answer is no.

Which bank do you allege this has occurred with?

GingerFurball_2

jellybrain wrote: »

Can anyone tell me if banks are allowed to bounce a cheque in order to collect their charges? This bounced cheque will now incur another £15 fee, their charges have taken me slightly into an unauthorised overdraft which will also now be charged! Any advice?

If you're with Lloyds then you wouldn't accumulate charges on an unauthorised overdraft if it was charges that put you into an unauthorised overdraft.