BANK CLEARING SYSTEM

[fredd1]

DOES ANYONE HAVE A DIAGRAM OF INFO ON HOW THIS WORKS!! i WAS AWAY THE DAY EVERYONE GOT THERE HANDOUTS!! THANKS

[Dawn23]

Sorry I didn't do foundation stage, but I'm sure that your tutor will give you a copy of the handout if you ask them.<BR><BR>Dawn

[Columbia]

Hi<BR><BR>Just looked through one of my many books, and came across the Bank Cheque Clearing System, hope this is ok!<BR><BR>Day 1 - Customer pays supplier and the cheque is paid into local bank branch by supplier<BR><BR> Cheque taken by courier to London with all other cheques paid into local bank branch<BR><BR>Day 2 - Cheques arrive at Clearing Department, London and are sorted into banks<BR><BR> Cheques taken by delivery van to the Central Clearing House, London<BR><BR> Cheques for each individual bank (ie Lloyds/Natwest) are taken to the main clearing department in <BR> London for that particular bank<BR><BR> Cheques are now sorted in branches<BR><BR> Cheques are sent by courier to the bank for which the the money is to be deducted from<BR><BR>Day 3 - Cheque has now arrived at the customers bank account and the money has been<BR> deducted from the customers account and deposited into the suppliers account<BR><BR> The cheque is now cleared and can be drawn against.<BR><BR>Hope this is what you are after!<BR><BR>Tracy (aka Columbia)

[djfixter]

If I have suspicions that the cheque is fraudulent, how long should I leave it to clear to be sure that it isnâ??t?