Cashing a large US Dollar cheque in UK

Gobble

I've received a life insurance payout from the US. A one-off cheque.

My bank indicates it will take 6-8 weeks for it to travel back around the US before I get paid - assuming it doesn't get lost during this time.

There must be a better way!?

jonesMUFCforever

Gobble wrote: »

I've received a life insurance payout from the US. A one-off cheque.

My bank indicates it will take 6-8 weeks for it to travel back around the US before I get paid - assuming it doesn't get lost during this time.

There must be a better way!?

As you have already received a cheque - no.

The bank obviously don't trust you or you don't have a high enough credit rating with them to be able to negotiate the cheque (normaly 5 days or so) the alternative is a full collection of the cheque which means posting it to the US bank and waiting for them to send funds to your UK account.

You may want to consider a forex broker but depending on the size of the cheque they may make you wait too.

GingerBob_3

jonesMUFCforever wrote: »

As you have already received a cheque - no.

The bank obviously don't trust you or you don't have a high enough credit rating with them to be able to negotiate the cheque (normaly 5 days or so) the alternative is a full collection of the cheque which means posting it to the US bank and waiting for them to send funds to your UK account.

You may want to consider a forex broker but depending on the size of the cheque they may make you wait too.

Banks trust no one, but you must trust them without question.

Gobble

The bank promised a 'negotiated' process where they 'loan' me (free of charge) the proceeds of the cheque and use the current exchange rate. When they received the cheque however they said the amount was too large for this.

I don't understand why I (or someone acting for me like the bank) cannot go to a US bank in London and enter the US banking system there and complete the deal.

If the cheque was drawn on a bank in Bongobongoland I cannot imagine it taking longer. Maybe some of the USA is a financial Bongobongoland!?

Ballard

I don't know why it takes quite so long to process US cheques but that timeframe is about standard. At my previous (small foreign) bank it used to take between a week and a fortnight but we simply endorsed the cheque and put it in the post to our US sister bank. We gave the customer the option of a standard letter (free) or courier (at cost) and our charge was about £30.

We didn't process that many EUR cheques but from memory that also took around a fortnight. I have a vague recollection of an AUD cheque that took at least a month to process.

You can't go to a US bank with a cheque for two reasons. Firstly they do not know who you are (KYC) and secondly the cheque needs to be cleared through the US system. Similarly, you're not going to be able to walk into Barclays Bank in Cape Town and cash a Sterling cheque.

antrobus

Gobble wrote: »

...I don't understand why I (or someone acting for me like the bank) cannot go to a US bank in London and enter the US banking system there and complete the deal. ...

There might be a number of UK banks in London that are owned by US banks and bear their name, but there are no US banks.

Gobble wrote: »

..If the cheque was drawn on a bank in Bongobongoland I cannot imagine it taking longer. Maybe some of the USA is a financial Bongobongoland!?

Probably take about the same length of time. There is no international cheque (or even check) clearing system. All foreign cheques have to be returned to their country of origin for collection.

diamonds

Call the issuing party and request electronic transfer.

jonesMUFCforever

diamonds wrote: »

Call the issuing party and request electronic transfer.

Can you really see OP phoning up an american life insurance company and getting through to anybody who would authorise this without getting the original cheque back?

Thrugelmir

jonesMUFCforever wrote: »

Can you really see OP phoning up an american life insurance company and getting through to anybody who would authorise this without getting the original cheque back?

They'll issue cheques in order to keep the money in their account for as long as possible.

diamonds

jonesMUFCforever wrote: »

Can you really see OP phoning up an american life insurance company and getting through to anybody who would authorise this without getting the original cheque back?

The issuer can send a courier with the cheque details to check such against the cheque on collection with a bag then sealed in front of the named person to return to base.


Mobile networks do it with mobile replacements and IMEI numbers.

jonesMUFCforever

diamonds wrote: »

The issuer can send a courier with the cheque details to check such against the cheque on collection with a bag then sealed in front of the named person to return to base.


Mobile networks do it with mobile replacements and IMEI numbers.

.........and how long will this delay the funds - and how much will it cost - he needs to bite the bullet and pay the cheque in (somewhere) to start the cashing process.