Cheques may be around a while longer yet

14 April 2011

cheque_cashingGood news pensioners and troglodytes! Cheques may not be getting axed thanks to a Treasury Select Committee inquiry. This is something of a thumb in the eye for the Payments Council who proposed the abolition.

Some MP called Tyrie, chairing the inquiry, says: "A decision of this size, which affects millions of people, businesses and charities, should not be imposed on us de facto. The Payments Council has not thought through its arguments carefully enough and its first piece of work on the cost-benefit of abolishing cheques was clearly defective.

"We are demanding more rigorous analysis; the public deserve no less. I am asking the question: is it right that one institution can force through such a radical change in our behaviour?"

"The Payments Council had seemingly forgotten about the millions of people who remain less at ease with the latest technology. Since our last inquiry we have been inundated by letters from the public telling us that they rely on cheques," he said.

"Many charities, small business and vulnerable people – including pensioners – depend on cheques. Their needs must be considered. They should not be forced into shredding their cheque books. We will also want to examine whether it is in the public interest that apparently competition can, and should, be set aside on this."

So, basically, cheques will probably get nuked when our current crop of old people just go away and die. Which is a nice cheery thought for the day.

TOPICS:   Banking   Investments   Government


  • DragonChris
    In before the cave dwellers who have just seen the word "troglodyte" for the first time. Bless.
  • CyBerman
    Could it lead to the return of the .... Postal Order ?????
  • Dick
    I thought bank charges had to be in line with the actual costs to the bank. So the banks should use this and they should start bloody well charging people for both issuing and cashing cheques.
  • Mark H.
    I'm using a cheque today to pay a plasterer. I could use cash but it's a lot to get out at once and there's no audit trail of it. They need to come up with an alternative solution before just ditching cheques.
  • doopa
    @Mark H - in most European Countries you would just ask for the plasterer's Account Number and Sort Code and make the transfer - either in the bank or over the internet. They've even standardised the Account Numbers and Sort Codes on a European level - IBAN and BIC codes. So in practise you can transfer money using the IBAN and BIC number between any two EU accounts. Of course this costs extra in the UK :(

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