HSBC taking longer to clear cheques.

Humberstone27

I pay a cheque into my local HSBC branch on a Monday before midday and I can draw on the cleared funds on the Wednesday. I now find that over the last month that the cheque is not cleared until Thursday. Is this just another way for the Banks to make money in addition to the new £25 overdraft arrangement fee HSBC are now charging annually for renewal of current overdrafts. Has anyone else noticed the change in the cheque clearance time.

ShelfStacker_3

What do you mean by "cleared"? If you mean cleared as in the cheque forms part of your available balance, then that's on time with regards to the 2-4-6 system. Otherwise it is a little late; call them and query it.

Humberstone27

Thank you Shelfstacker for your input, yes "cleared" I mean being able to use the money to pay bills online etc, usually on Wednesday, now Thursday. Whats this 2-4-6 system you refer to?

BruceyBonus

Humberstone27 wrote: »

Thank you Shelfstacker for your input, yes "cleared" I mean being able to use the money to pay bills online etc, usually on Wednesday, now Thursday. Whats this 2-4-6 system you refer to?

Day 2: Earns interest
Day 4: Can withdraw the money
Day 6: Cheque cleared

quinlanmd

HSBC operate (and have operated for some time) 2-3-6 (i.e. pay in Monday, withdrawal available Thursday). The main exception is if the cheque you are paying in is drawn on the same branch, in which case it is available for withdrawal the working day after paying in (i.e. pay in Monday, withdrawal available Tuesday).

Milarky

BruceyBonus wrote: »

Day 2: Earns interest
Day 4: Can withdraw the money
Day 6: Cheque cleared

But some of the money at least is available on Day 2 since the value of the cheque can also be used to reduce any amount on which you would pay interest from that date. This allows you to offset the value of the cheque against your authorised overdraft without charge and withdraw the lesser of the two amounts (e.g cheque for £800, overdraft of £500 - can withdraw £500 and/transfer to higher interest paying account) But beware that your overdraft is then unavilable until Day 4 - i.e. you cannot withdraw any more or pay any bills again until then...

gt94sss2

Humberstone27 wrote: »

I pay a cheque into my local HSBC branch on a Monday before midday and I can draw on the cleared funds on the Wednesday. I now find that over the last month that the cheque is not cleared until Thursday.

This is not new - cheques paid in on Monday have generally been available from Thursday - its been like this with HSBC for years..

Regards
Sunil

Major_Grooves

I have been waiting for a cheque from a car finance company to clear with the garage from which I am buying a new car.

So far the bank has had the cheque for 6 days and it has not cleared yet. Apparently the garage had a letter from their bank telling them that cheques would now take 7 days to clear.

Pretty scandalous, considering the OFT were meant to be cracking down on it when it was 3-5 days as standard.

apt

With the buying of cars it is common that there's a period of 7 days (sometimes even longer) for cheques to clear. The parties involved need to make sure that the cheque won't bounce or be stopped. It's not scandalous, but a sensible precaution in an area where there's plenty of fraud about.

jonny7227

On 18th November, I paid for a camera at my local Jessops store with a company cheque (it is a long service award). This was by special arrangement (Jessops no longer accept cheques) and I have to wait for the cheque to clear before I can take the goods.

I have harrassed the poor guy in the store more times than I can remember and most times he has faithfully popped down the road to HSBC to see if it has cleared. (Or at least he has told me he has popped down the road to HSBC!).

Jessops tell me they presented the cheque on 21st November .

Today I am told HSBC report the cheque STILL hasn't cleared!!

2-4-6? More like 246!

Is this a record?

ShelfStacker_3

jonny7227 wrote: »

I recently paid for a camera at my local Jessops store with a company cheque. This was by special arrangement (Jessops no longer accept cheques) and I have to wait for the cheque to clear before I can take the goods.

I have harrassed the poor guy in the store more times than I can remember and most times he has faithfully popped down the road to HSBC to see if it has cleared. (Or at least he has told me he has popped down the road to HSBC!).

Today I am told HSBC report the cheque STILL hasn't cleared!!

2-4-6? More like 246!

When exactly did you give the cheque to Jessops? Has it cleared from the company's account? When did they pay it into the bank (which may differ from when you gave it to them)?

It could well be that the cheque was sent off to be paid in centrally, thus adding delay - you mention that they don't take cheques usually, so it might well be something which they have to go a little "off the beaten track" for perhaps?