scoobyvirgin

I was told today that excepting a bankers draft/building society cheque in payment for a car (or anything expensive) can be a bit risky.

I know that they are a guarantee that the money is available in the account, but is it possible for the purchaser to present it to you, take your goods and then cancel?

Any info would be appreciated.

Phil

IIRC A Bankers Draft can't be cancelled

There have however been a few stolen or forged ones doing the rounds

A quick call to the presenting bank is all thats required get the persons name who confirms it is genuine

Hope that helps

Phil

Markus

Yup, get it confirmed by the bank and you should be ok. I've used and recieved many drafts with no problems at all

douglasb

I don't think that these can be cancelled as when I bought the Legacy the dealer would only accept payment by bankers draft or Building Society cheque (I guess that cash might have been welcome :;. The alternative was a personal cheque and sufficient time for it to clear with the money arriving in the dealer's account.

Previous advice on calling the issuer to check looks good.

Doug

4X4BOB

My lady works for one of the big banks, and she say's that if you phone the issueing bank to confirm that its a genuine bankers draft (and not stolen or forged), the bankers draft cannot be cancelled unless the payee informs the bank that that they have lost/not receieved it.

Hope that helps.

Bob

apples24

iTrader: (1)

yes theoreticly they could say they lost it, but when the draught is then cashed by the person they had it made out to makes them guilty of fraud dunnit

BIG-Phil

personally - cash only mate whether i buy/sell...str8 2 the bank.

Tiggs

just sold my car for 17k and got/wanted a draft...who the heck wants cash for big money????? i posted my draft of on wed and it will be spendable by monday. i would have refused cash if he had offered it.

4X4BOB

Maybe my post wasn't clear enough...

The "payee" is the person the draft is made payable too, and its ONLY the payee that can get the draft cancelled by informing the issueing bank they have lost it. The person who's given you the draft cannotcancel the draft.

Bob

Tiggs

yep- once the buyer hands the draft over it has LEFT him. its as good as cash in that sense.....he could only get it back if he stole it from you!

MarkO

Not strictly true, actually. If there is sufficient legal grounds for the money to be refunded, it is possible for the draft issuer to do so. However, it would usually require police involvement and is extremely complicated and takes a long while. It basically involves finding the payees bank account (which can be traced through the system) and getting their bank to return the cash (like an unpaid cheque - which, really, is all a banker's draft is).

I only know this, after looking into it when we paid a builder (yes, for it is he) with a banker's draft and subsequently got into a legal dispute with him.

It's not something I'd rely on though. Cash is king, an' all that.