Within six days, your cheque will have cleared once and for all
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.From now on, the banking industry has said, all cheques paid into UK bank accounts will be cleared within a maximum of six working days.
Previously, banks could recoup money from a customer's account if they found the original cheque payment was bogus. In theory, there was no time limit on the bank's right to claw back cash. This led to instances where customers paying in cheques were told the funds had cleared but then had the money debited weeks or even months later. Put simply, cheques never cleared with absolute finality.
In addition, the banks have pledged that interest earnt on cheque payments will be credited no more than two days after paying in.
The reforms, first announced a year ago but only coming into force now, have been welcomed by consumer groups and small businesses. "For the first time, smaller firms have been assured that their money will be safely in their accounts within six days," said Len Collinson, chairman of the Forum for Private Business. "This will enable them to be more assured in managing their cash flow, with a far greater degree of clarity."
The popularity of cheques has declined sharply in recent years, due to increased card use. But it is still a key means of payment for small businesses.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments