Collection procedure of a Cheque
A cheque is an instrument in writing containing an unconditional order, addressed to a banker, sign by the person who has deposited money with the banker, requiring him to pay on demand a certain sum of money only to or to the order of the certain person or to the bearer of the instrument.
The cheque clearing cycle is the process we use to establish whether a payment made by cheque can be honored. It normally takes 5 working days. However, in cases where the payment can’t be honored – e.g., if the person making it doesn’t have enough money in the relevant account – we need extra days to allow for the unpaid cheque to be returned.
The explanation below has been designed to help you understand when cheques paid into your account start to earn interest and when the funds become available for withdrawal. It also shows when you can be certain that the funds won’t be reclaimed from your account as a result of a cheque being returned unpaid. It applies to Sterling cheques paid from UK accounts.
(a) Branch cut-off times
Some branches have a cut-off time, after which cheques paid in are processed the following working day. Cut-off times vary and are available in branches.
(b) Accessing the money
You don’t have to wait for the cheque to clear before you use the money. If you’re sure a cheque won’t be returned unpaid, you may be able to access some of the money on the day it’s paid into your account using our Instant Access Service, Please check with us as to whether you qualify for this service and what limit applies.
(c) Working days
Working days refer to Monday to Friday, excluding bank holidays. However, Bank holidays that are only observed in Scotland do count as working days. For cheques deposited in Northern Ireland, bank holidays only observed there don’t count as working days.
(d) Post offices
If you pay a cheque at a post office to your Barclays account. It’ll take working days longer to process them.
(e) Speeding up the process
If you need a cheque to clear faster than usual, ask to use the Direct Presentations service in any of our branches. We’ll send the cheque by Royal Mail Special Delivery to the bank the cheque is being paid from. It usually then takes that bank up to 2 working days to confirm whether the cheque can be paid. After that, we’ll phone you to let you know the decision.