Cheques
Under which terms and conditions do you accept cheques for collection/discounted purchase and how long does it take for the cheque to be honoured?
Terms and conditions for accepting bank and personal cheques:
- adherence to the provisions of the Bills of Exchange and Cheques Act No. 191/1950 Coll.,
- cheque payable at another financial institution has been presented by an authorised holder who has established an account at CSOB,
- neither any recall nor Stop Payment applies,
- cheque drawer’s signature is in compliance with signature specimen while funds to honour the cheque are ensured (regarding CSOB private cheques or discount of bank cheques).
CSOB personal cheques (to accounts established at CSOB) are honoured promptly provided:
- cheque is denominated in the currency of the account to which cheque forms have been issued,
- the cheque is presented by the authorised holder,
- no defects are found in reviewing cheques including verification of the cheque drawer’s signature,
- the account to which the cheque is drawn shows sufficient disposable balance,
- the cheque is presented within 8 days after the drawing. If the client does not recall his private cheque and Stop Payment does not apply the cheque may be honoured (or cleared cashless) also after the legal deadline for presentation expires, even within 6 months after the date of expiry.
Personal cheques drawn by clients of other financial institutions presented by the authorised holder who has established an account at CSOB (CSOB does not accept cheques payable at another financial institution from the clients who have not established accounts at CSOB):
- are honoured in the form of non-binding collection or after the bank-drawee has paid i.e. after the cheque amount has been received. If we receive a dishonour notice we will inform the client accordingly and will not honour the cheque,
- as for cheques payable abroad they are collected within the period of collection which is usually 33 calendar days following the acceptance of a CSOB cheque,
- as for cheques payable in the CR or non-standard cheques they are honoured after the final payment of the bank-drawee,
- corporate clients are invited to use the services of advance cheque payment (the so-called Cash Letter System), which are provided to selected clients in accordance with the Contract for Advance Payment of Cheques Payable Abroad.
Bank cheques drawn to CSOB:
- are honoured in favour of authorised holders promptly following identification and other inspection according to the results of cheque examination, verification of the signature and funds for coverage (which are sent by the drawing bank to CSOB immediately after the cheque is drawn),
- if cheque coverage is not ensured or the cheque drawer’s signature cannot be verified the cheque is accepted for encashment after the receipt of the respective amount from the drawer (as for terms, see Private Cheques). If the cheque payment is not ensured you are invited to use the service to claim the cheque coverage, which is subject to fee.
Bank cheques drawn to other financial institutions:
- cheques of solvent banks are honoured in favour of the first and authorised cheque holder who has established an account at CSOB according to the results of cheque examination and verification of the cheque drawer’s signature,
- if a defect is found-or the cheque is not drawn by a solvent bank, we are entitled to accept the cheque only for non-binding collection (as for the term see the Private Cheques).