5 days for Cheque to Clear!!

Jamie2k9

Lodged cheques form Ulster Bank last Wednesday and now I am told it takes 5 working days so it won't be until Wednesday that I can access any money. A joke and such a slow process, it should only take 48hrs at most and then you show me the balance on my account but can't access the money At least don't update the account balance until you can actually get the money. :mad:

Bank of Ireland: Tara

Hi Jamie2K9,

Thanks for your post.

Five working days is the standard clearance time for third party cheque lodgements. I have taken the following from the Irish Payment Services Organisation's (IPSO) website, which explains cheque clearing in detail:

"A cheque is an historical payment instrument which, unlike an electronic payment, requires manual intervention in transporting it from the bank branch in which it was lodged to that bank's clearing department and then on to the clearing department of the bank on which it is drawn. The reason for this is that a cheque has to be physically processed by the bank on which it is drawn in order to debit the customer's account and it also needs to be examined for fraud and security reasons. Cheques drawn on and payable at the same bank generally clear faster."

The full text can be viewed here.

If this is a regular payment another option would be to receive future payments by electronic transfer.

Thanks
Tara

willmull

Bank of Ireland: Tara wrote: »

Hi Jamie2K9,

Thanks for your post.

Five working days is the standard clearance time for third party cheque lodgements. I have taken the following from the Irish Payment Services Organisation's (IPSO) website, which explains cheque clearing in detail:

"A cheque is an historical payment instrument which, unlike an electronic payment, requires manual intervention in transporting it from the bank branch in which it was lodged to that bank's clearing department and then on to the clearing department of the bank on which it is drawn. The reason for this is that a cheque has to be physically processed by the bank on which it is drawn in order to debit the customer's account and it also needs to be examined for fraud and security reasons. Cheques drawn on and payable at the same bank generally clear faster."

The full text can be viewed here.

If this is a regular payment another option would be to receive future payments by electronic transfer.

Thanks
Tara

Hi Tara

After the 5 working days will the cheque be officially cleared, as in would there be any chance of the cheque bouncing and therefore the money being taken back out of my account?

The reason I am asking is that I have recently received a cheque from our landlord for the deposit we put down on the house when we moved in. He has issued me with a cheque for the full amount which I then need to distribute between the other tenants. However I am worried that if I distribute the cheque too soon and the cheque subsequently bounces that I will be left out of pocket.

Thanks, Will  

Bank of Ireland: Tara

Hi Will,

That's correct, the cheque will be officially cleared after the five working days clearing time and cannot be returned unpaid after this. If you are in anyway concerned, you could call your branch, prior to withdrawing the funds, who can confirm if it has fully cleared.

Thanks
Tara

willmull

Bank of Ireland: Tara wrote: »

Hi Will,

That's correct, the cheque will be officially cleared after the five working days clearing time and cannot be returned unpaid after this. If you are in anyway concerned, you could call your branch, prior to withdrawing the funds, who can confirm if it has fully cleared.

Thanks
Tara

Thanks for the quick reply Tara. 

Regards, Will