Limited Company bank account closed by HSBC - issued cheque with business balance.

sariward

Hi

Has anyone been in this situation?

Business bank account was closed by HSBC in Feb - because I didn't fill in a form in time re. ID  - this is all part of their anti-money laundering clamp down / possibly fact business hadn't been trading for 6 months. No reason was actually given.

HSBC sent me a final balance cheque in the name of my Limited Company. This is for a very large sum of money.

I complained to HSBC that banking the cheque may be an issue given the size of it with another bank (even though I can prove all fund income).  They agreed to re-write the cheque in my personal name (they told me this 3 times - once in branch, twice over the phone). After much back and forth they said to write to the bank and ask for the cheque re-name.  Eventually I was told (when I phoned up to chase) that this would not be possible. Original cheque was then coming up to 6 months old - so they agreed to re-issue the cheque in business name. I am still waiting for this cheque (1 week ago).

I have since tried applying for a business account. Natwest have refused me (despite banking with them for years).  I am now trying MONZO.

Does anyone know the largest cheque size that can be deposited with MONZO?

Has anyone else been in this situation?  My Business accounts are healthy and no taxes etc. are due.

My concern is that I won't be able to deposit this cheque back in to my business!

Thanks for any advice. I will obviously keep trying to open a bank account.

DE_612183

Is yours a limited company?

Marchitiello

Unless you officially go into liquidation and document the distribution of assets to shareholders, the limited company bank balance cannot be issued into one of the shareholders name, so your expectation was clearly wrong.

in terms of new bank account, again there should be no problem there, you just deposit a cheque and in case you are asked, you prove the source by presenting the last HSBC statement with said Balance and potentially a covering letter by your accountant. 

However, I wonder if there is perhaps a marker in your company name Credit file as normally RBS / NatWest have been the easiest to open account with even for brand new start up where there was no history and not yet finalised information at Companies House, so you may want to pay to see your Company Credit file with one of the two main credit agencies.

Are you updated with filing at Companies House and Tax Returns? 

penners324

Banking a cheque of a considerable size into a business account would be far easier than unto a personal account.

Why didn't you open another business account when hsbc was shut down?