Postdated Cheques

taffam

Hi all

Just after a bit of advice, I sent a cheque off to CER to clear a debt for £810 last week and dated it the 26th Jan as agreed with them so it would come out when I get paid

Then on Friday it tried to clear out of my account - CER just apologised for doing it and basically didn't care, and this complete jobsworth at Natwest was having none of it, charged me £38 and told me to get lost.

My query is that are they allowed to cash postdated cheques? It all seems a bit odd to me and would like some advice as to whether Natwest are allowed to do this?

Natwest also told me that postdating a cheque is illegal!

Any help appreciated

Thanks

CLAPTON

cheques are machine processed so most banks refuse to allow post dated cheques and will process them on receipt.

notanothergreyhair

taffam wrote: »

My query is that are they allowed to cash postdated cheques? It all seems a bit odd to me and would like some advice as to whether Natwest are allowed to do this?

There is no such thing as a postdate cheque, technically speaking. A recipient is entitled to cash a cheque given to them even if the date is in the future.

I don't think that PD cheques are illegal per se, rather that the writing of a cheque with knowledge that it won't be honoured can constitute fradulaent activity. Don't worry about any prosecution though.

embarrassed_about_my_debt

This any help?

Gemmzie

Ah sh................t

I got told by an insurance company to send post-dated cheques, !!!!!! if they cash them I'll go ape on them.

taffam

Thanks for all the advice guys, guess I will have to take it as a lesson learnt

Banks are so unsympathetic to certain situations, and they told me there is a good chance it will get represented and there is nothing they can do, so no doubt I will get another £38 charge

TurnaroundSue

taffam wrote: »

they told me there is a good chance it will get represented and there is nothing they can do, so no doubt I will get another £38 charge

The bank should know if it is going to be represented as if the cheque has gone back "RDPR" (which means, refer to drawer, please represent) then the cheque will automatically get represented for up to 3 times. If there are still no monies to cover the cheque then it will be returned RD (Refer to drawer) and this stops the cycle. You could ask if you put a "stop" on the cheque whether that would override the current situation and even though you most probably will get charged for the stop, it should be a hell of a lot cheaper than the £38 you will currently get charged. You could also try claiming the charges back from the payee as they came to an arrangement with you to send them a post dated cheque (which is deemed as not being legal, as the funds need to be in the account when the cheque is written and by the letter of the law then if they are not (or you do not have a sufficient overdraft to cover them) then it is counted as fraud!!

Hope this helps.

MarkyMarkD

Sue's comments are spot on. The bank is right to have cleared the cheque (or attempted to do) and hence right to charge you the £38.

It is entirely the recipient's fault for telling you to write a post-dated cheque and then banking it too soon.