Halifax losing Foreign Cheques/Bankers Drafts

IanSt

TASA wrote: »

Why would they turn down my offer of a copy to process. it does not seem logical for a bank acting in good faith ?

So you can make out a whole story in your mind of how the bank is acting in a criminal manner rather than it being bad luck, but you really can't figure out why the bank would want the original rather than a copy?

Ballard

As annoying as this episode has been to you it does appear that you’re in the grip of paranoia. The bank won’t have deliberately lost the cheque for any reason. If they suspect any illegality they are duty bound to inform the relevant authorities/regulators. If it came to be known that they were destroying them they’d be in all kinds of trouble.

As for using your copy to process, to the best of my knowledge the issuing bank would require the original. There is provision in the U.K. for electronic copies to be used up to a certain amount but I’m not aware of this being possible in Europe.

You do have grounds of complaint but my advice would be to keep the conspiracy theory out of any complaint.

londoninvestor

This sounds much more like coq-up than conspiracy. Halifax's best interests would be best served by accepting the draft and gouging you on the exchange rate, as high street banks do for currency conversion.

You might want to consider this a lucky escape, open a euro account that accepts drafts (perhaps HSBC or Barclays, but check any fees for paying in a draft), then use a decent currency conversion service to convert it to pounds.

TASA

To update on the photocopy situation. They do accept photocopies and also photos of cheques. Each branch takes a photocopy and keeps a carbon copy of the form in case it gets lost on route to the clearing office. They would not take these copies if they were not a recognised method in dealing with a loss.

After turning down my copy the Ombudsman Investigator recently phoned up the case handler at Halifax. Whatever he said I do not know but the very next day Halifax contacted the Issueing bank and sent them my copy. They had refused to do this for 9 months prior.

boo_star

TASA wrote: »

To update on the photocopy situation. They do accept photocopies and also photos of cheques. Each branch takes a photocopy and keeps a carbon copy of the form in case it gets lost on route to the clearing office. They would not take these copies if they were not a recognised method in dealing with a loss.

After turning down my copy the Ombudsman Investigator recently phoned up the case handler at Halifax. Whatever he said I do not know but the very next day Halifax contacted the Issueing bank and sent them my copy. They had refused to do this for 9 months prior.

There's a massive difference between a photo done via an app or a photocopy done by branch staff and one being provided by a customer.

Do you honestly think you could walk into a branch with a photocopy of a cheque and have them say "yep, that's fine"? Of course not.

I don't believe that the issuing bank will do much with your copy, but I'm sure you'll be back in a few weeks to "prove" we're all wrong.

TASA

boo star
The copy comes from the official Notary documentation so has been confirmed by the Notary as a genuine copy of the original. It is embedded into the contract. It also comes with the receipt of the issueing bank.

System

Is this thread still going strong?!

OP- they are a business, they are perfectly entitled to refuse to accept third party copies (especially for large amounts) and don't owe you anything other than your reasonable costs to obtain another cheque or the funds another way.

As a side note, I wouldn't be surprised if they choose to end the banking relationship going forward...

TASA

hengleng you make a good point. I wish they had of just rejected this cheque saying they did not want to process it and hand it back to me. That would have been annoying but acceptable, I could have found other ways to cash it.

The fact is that this is mine and my families inheritance money from our late fathers property so you can imagine how stressful it is.

I am already moving my business to alternative providers.

On the point of liability however I am not sure if you are correct. The Ombudsman website states on the issue of a bank losing cheques that they will put your account back into the position it would have been had they done things correctly. On their decisions page I found a previous example where a bank had lost a foreign bankers drafts. The Ombudsman made them pay the full amount. Also I queried with the Investigator and he confirmed that they can make the bank pay the full amount plus compensation.
A Bankers draft represents a transaction that has already taken place so may have slightly different reasoning as compared to ordinary cheques. I think if a solution is not found then Halifax will have to pay up as the property is legally the buyers now, time will tell.

System

TASA wrote: »

hengleng you make a good point. I wish they had of just rejected this cheque saying they did not want to process it and hand it back to me. That would have been annoying but acceptable, I could have found other ways to cash it.

The fact is that this is mine and my families inheritance money from our late fathers property so you can imagine how stressful it is.

I am already moving my business to alternative providers.

On the point of liability however I am not sure if you are correct. The Ombudsman website states on the issue of a bank losing cheques that they will put your account back into the position it would have been had they done things correctly. On their decisions page I found a previous example where a bank had lost a foreign bankers drafts. The Ombudsman made them pay the full amount. Also I queried with the Investigator and he confirmed that they can make the bank pay the full amount plus compensation.
A Bankers draft represents a transaction that has already taken place so may have slightly different reasoning as compared to ordinary cheques. I think if a solution is not found then Halifax will have to pay up as the property is legally the buyers now, time will tell.

I didn't say your initial deposit - just a photocopy which they did.

Halifax have lost a payment instruction (cheque) - it doesn't have value in itself. If you have no evidence that it's been cashed, I highly doubt they will refund you but good luck anyway.