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clearing cheque while overdrawn


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never heard of it. If the charge is imposed somply because you are overdrawn then it may be.

tell us more. Which bank. Have you asked them the basis upon which they are charging and the term in your contract upon which they are relying?

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never heard of it. If the charge is imposed somply because you are overdrawn then it may be.

tell us more. Which bank. Have you asked them the basis upon which they are charging and the term in your contract upon which they are relying?

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never heard of it. If the charge is imposed somply because you are overdrawn then it may be.

tell us more. Which bank. Have you asked them the basis upon which they are charging and the term in your contract upon which they are relying?

 

An example on my abbey statement

 

your cheque 008967 for £50 was paid when there was not enough money in your account.

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never heard of it. If the charge is imposed somply because you are overdrawn then it may be.

tell us more. Which bank. Have you asked them the basis upon which they are charging and the term in your contract upon which they are relying?

 

An example on my abbey statement

 

your cheque 008967 for £50 was paid when there was not enough money in your account.

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Oh, you mean a cheque which you paid out and they bounced it because you didn't have enough funds?

Can you be a bit more specific

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Oh, you mean a cheque which you paid out and they bounced it because you didn't have enough funds?

Can you be a bit more specific

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I'm pretty sure he means a cheque that Abbey allowed to clear even though there were insufficient funds. They normally do this when the cheque has been issued and a cheque guarantee number has been written on the back.

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I'm pretty sure he means a cheque that Abbey allowed to clear even though there were insufficient funds. They normally do this when the cheque has been issued and a cheque guarantee number has been written on the back.

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I'm pretty sure he means a cheque that Abbey allowed to clear even though there were insufficient funds. They normally do this when the cheque has been issued and a cheque guarantee number has been written on the back.

 

yes, sorry should have put it better. Is the £10 still classed as a penalty charge.

 

Thanks.

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I'm pretty sure he means a cheque that Abbey allowed to clear even though there were insufficient funds. They normally do this when the cheque has been issued and a cheque guarantee number has been written on the back.

 

yes, sorry should have put it better. Is the £10 still classed as a penalty charge.

 

Thanks.

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So this means that the cleared cheque took you over your overdraft limit?

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So this means that the cleared cheque took you over your overdraft limit?

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They key test seems to be whether the charge arises from a breach of your contract with the bank and whether it is disproportionate to the actual cost to the bank of processing the cheque. It's pretty clear that there is a contract breach and £10 seems excessive for seconding out a computer generated second class letter. Having said that, this may be an instance where there has to be manual inspection of the cheque to see if the correct guarantee number is on the back. I don't know if they can automate this process.

 

In any event I thought Grebby charged £20 for this.

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They key test seems to be whether the charge arises from a breach of your contract with the bank and whether it is disproportionate to the actual cost to the bank of processing the cheque. It's pretty clear that there is a contract breach and £10 seems excessive for seconding out a computer generated second class letter. Having said that, this may be an instance where there has to be manual inspection of the cheque to see if the correct guarantee number is on the back. I don't know if they can automate this process.

 

In any event I thought Grebby charged £20 for this.

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yes I think that it is - not cheap, but much less than one might normally expect. This is why I'm trying to ascertain what the charge is actually for. I haven't heard of a £10 charge siince the mid-nineties.

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yes I think that it is - not cheap, but much less than one might normally expect. This is why I'm trying to ascertain what the charge is actually for. I haven't heard of a £10 charge siince the mid-nineties.

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yes I think that it is - not cheap, but much less than one might normally expect. This is why I'm trying to ascertain what the charge is actually for. I haven't heard of a £10 charge siince the mid-nineties.

 

This dates back to 2000-2001

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yes I think that it is - not cheap, but much less than one might normally expect. This is why I'm trying to ascertain what the charge is actually for. I haven't heard of a £10 charge siince the mid-nineties.

 

This dates back to 2000-2001

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yes I think that it is - not cheap, but much less than one might normally expect. This is why I'm trying to ascertain what the charge is actually for. I haven't heard of a £10 charge siince the mid-nineties.

 

This dates back to 2000-2001

 

this was around the time when going overdrawn cost 16.50

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yes I think that it is - not cheap, but much less than one might normally expect. This is why I'm trying to ascertain what the charge is actually for. I haven't heard of a £10 charge siince the mid-nineties.

 

This dates back to 2000-2001

 

this was around the time when going overdrawn cost 16.50

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  • 2 weeks later...

If It costs a bank £ 30-35 for a failed item charge/ bounced cheque and they claim that its a pre-estimate of their loss, for manual intervention, how come if your in credit that it costs you nothing.

 

To my mind a cheque that passes through the clearance cycle has more manual intervention than a failed direct debit, yet the banks dont charge £35 per cleared cheque.

 

I think you can only draw the conclusion that you are penalised for bouncing a direct debit rather than paying an estimated cost to the bank ??

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  • 13 years later...

This topic was closed on 03/05/19.

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Please note that this topic has not had any new posts for the last 5387 days.

If you are trying to post a different story then you should start your own new thread. Posting on this thread is likely to mean that you won't get the help and advice that you need.

If you are trying to post information which is relevant to the story in this thread then please flag it up to the site team and they will allow you to post.

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