Halifax CA question

Gordon_the_Moron

Goldiegirl wrote: »

Why don't you just ask the Halifax?

I've asked 5 different people at Halifax, 3 told me I would be charged, 2 told me I wouldn't.

Gordon_the_Moron

Dobbibill wrote: »

It shows on your balance as you have paid it in on that day. The funds will only be available when it's been through the clearing system and until it is cleared funds there is always a chance it may be unpaid (bounce). A number of reasons can cause this eg insufficient funds at the other end, the cheque not completed correctly or the signature not matching the records held at the other end. Only when it is cleared is it 100% your funds and safe to draw on.

If you draw on the funds before it's available and something goes wrong then you are risking being plummeted into a very large overdraft.

DB

I know if the cheque bounces I will be in the HP sauce (aka the brown stuff)

My question is, if it comes from a reputable source (i.e. a family member or bank/building society) that I am willing to take that risk with, if I have the overdraft facility to back it up (without it they simply will not let me withdraw it) will I get charged if I do withdraw it?

Gordon_the_Moron

For the record, I've attempted this with an account of my own. I wrote a cheque to my Halifax current account with my Santander cheque book, as soon as the balance showed on my Halifax account I transferred the money to Santander and then waited for Halifax to collect it back. If I get charged it's £3, if not I don't, will answer my question and cost me at most less than a pint of beer (and they'll get a mardy arsed complaint if they try it)

Simon7685

When I pay cheques into the halifax, it immediatly increases my balance by the amount of the cheque but not the available balance. So my guess would be if you withdraw £3k before the cheque is cleared you would have a £3k overdraft that would be charged on. As far as I know they credit your account with a cheque to show that it is your money but it is not money available to spend or set against any borrowing.

You could have paid £10 to have it express cleared and it is generally done inside 24 hours. I have done that with big cheques before.

Hope that helps and makes some sort of sense

Westie983

Hi,

First of all express clearance is no more as all cheques clear within three days. In regard to the OP question you will be charged £3 a day while the cheque is clearing for withdrawing £3k as you will be using your OD, how long you use your OD for will depend on when you paid in the cheque as the cheque will pay back the withdrawal and bring your balance back to 0.

Remember if you have a reward account you will also sacrifice your reward payment for the month you make the withdrawal as you must remain in credit the previous month to get the £5 reward payment.

If you wait till the cheque clears then withdraw you won't pay OD charges or lose your reward payment if applicable.

Hope this helps

Gordon_the_Moron

I only drew £1000 against the overdraft so the fee will only be £1 per day. I wouldn't have got the reward this month anyway as I've cancelled one direct debit and not set another up in time and I only had 2 to start with.

Dobbibill

http://www.halifax.co.uk/bankaccounts/rates-rewards-fees/

yes, you will get charged. This explains that you must wait for cheques to clear before drawing on it. (bullet point 3)

Hope this helps

DB