Cheques dated after 30 June 2011 will no longer be guaranteed.
How this affects you:
If you accept guaranteed cheques:You can still accept cheques, although payment won't be guaranteed. This means that if your customer doesn't have enough money in their account to cover the cheque, it may be returned to you unpaid, for which your bank may make a charge. Normally, a cheque cannot be returned unpaid any later than six working days after it was paid in.
If you write guaranteed cheques:This means that you can continue to write cheques after 30 June 2011, they're just not guaranteed.
Why the Cheque Guarantee Card Scheme is ending:Since guaranteed cheques are being used less and less, the Payments Council decided to close the UK Domestic Cheque Guarantee Card Scheme on 30 June 2011. This affects customers (individuals and businesses) of all banks across the UK.
If you require further information please call the Finance Team on 01494 888423.
