Quote:
Originally Posted by Outbackmanyep
Hi John, I see your point, but the thing i was trying to get across is that the bank we are using has started doing this. If i was "Ace Tomato Company Pty Ltd" and someone paid me a cheque with "Ace Tomato's" written on it, i would deposit that in my bank, the teller would accept it but through the internal system it gets knocked back. The cheque comes back to me, i get hit with a fee
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I don't understand that. If, for instance, someone had made a payment to "Ace Tomato's" and that firm claimed that the payment had not been received and then a check through the banking system revealed that it had been banked to a different entity (in this case "Ace Tomato Company Pty Ltd) then there's going to be a bit of a stoush. There are many reasons why a cheque can be dishonoured and the reasons for such are usually described in short but descriptive terms - e.g. Drawer Deceased (the signatory to the cheque was, presumably, alive when the signature was appended to the cheque but has since died and the account, due to legal constraints is now frozen); Present Again (the signatory is usually a good person and can be expected to deposit the requisite funds in the next few days); Effects not clear (the signatory has the funds in the account but, because of the domino effect and clearance time, they also are awaiting clearance).
I'd best not clutter up the forum with more than that. I would though be interested to see if you can find out the reason for such an occurrence. If you do PM me.