Why The Difference?

[ppauls150]

Any bank staff give any information on this issue? Don't know if it has been metioned before. I have just found out today the other side of the coin of charges. Now think when we write a cheque and there is not enough money in the account and they return the cheque to the person who you issued the cheque to. We get charged by the bank for them returning that cheque anywhere between £20 to £40 to cover the return of the cheque back plus administrative costs.
Well when the bank receive that returned cheque they inform the person who you issued the cheque to by way of letter informing them it couldnt be cashed and they are charging them £4 for having to cover administration costs for returning the cheque back to them plus informing them that it couldnt be cashed.
So why does it cost us anywhere between £20 to £40 for our bank to return the cheque and informing us yet the person who we issued the cheque to only charge them £4 for returning the cheque back and informing them that it couldnt be cashed?

We then end up with a letter from the person who couldnt cash the cheque and they then want to charge us around £25 to cover their administration cost of the cheque being returned and informing us but the bank only charge them £4?

Yes we all know that the charges are excessive anyway but it just highlights the actual circle that happens and couldnt believe it when i saw that they also charge the person who presented the cheque to the bank £4 for their administration costs. So if they can just charge them £4 why cant they simply just charge us the £4?

I have to say that the charge you mention does not exist on NatWest personal accounts.