Cheques - payable to bank account number?


J

John Smith

Hi,

This is a silly thought that has gone through my mind but... can you pay
cheques to a specific bank account number?

I mean, if I was writing a cheque to 'Joe Davies' could I instead just write
the cheque, replacing 'Joe Davies' in the 'To' line, with his bank account
number of XXXXXXXXX?

Just a thought - wouldn't that be more secure?


John.
 
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T

Tiddy Ogg

Hi,

This is a silly thought that has gone through my mind but... can you pay
cheques to a specific bank account number?

I mean, if I was writing a cheque to 'Joe Davies' could I instead just write
the cheque, replacing 'Joe Davies' in the 'To' line, with his bank account
number of XXXXXXXXX?

Just a thought - wouldn't that be more secure?
More prone to error though, writing a string of digits without any
validation char.

Tiddy Ogg.
http://www.tiddyogg.co.uk
 
T

Tim

John Smith said:
More prone to error though, writing a
string of digits without any validation char.
Don't bank a/c nos include a validation char already?
 
J

John Boyle

John Smith said:
Hi,

This is a silly thought that has gone through my mind but... can you pay
cheques to a specific bank account number?

I mean, if I was writing a cheque to 'Joe Davies' could I instead just write
the cheque, replacing 'Joe Davies' in the 'To' line, with his bank account
number of XXXXXXXXX?
No, it wouldnt be a cheque anymore. The definition of a cheque is a bill
of exchange, payable on demand, drawn on a banker. A Bill of Exchange is
defined as an unconditional order in writing, addressed by one *person
to another*.....

A mere number is impersonal. A cheque form bearing an impersonal payee,
(other examples are 'cash' or 'wages') were deemed not to be cheques in
Orbit Mining & Trading v NatWest 1962 although that case did not exempt
the cheque form from being handled as though it was a cheque but the
circumstances were quite different to here.
Just a thought - wouldn't that be more secure?
No, because account numbers are not unique. The same account number will
occur at a number of branches of the original clearing banks. This does
not happen for the new pretend banks, like Halifax etc., who oonly have
one sorting code number.
 
M

Mike Scott

John said:
No, it wouldnt be a cheque anymore. The definition of a cheque is a bill
of exchange, payable on demand, drawn on a banker. A Bill of Exchange is
defined as an unconditional order in writing, addressed by one *person
to another*.....

A mere number is impersonal. ...
OK, playing devil's advocate, how about making the cheque payable to the
person, and endorsing it to the effect it must be paid into a particular
account number? It would, if nothing else, alert the receiving bank
staff to a potential problem.
 
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J

John Boyle

Mike Scott said:
OK, playing devil's advocate, how about making the cheque payable to
the person, and endorsing it to the effect it must be paid into a
particular account number? It would, if nothing else, alert the
receiving bank staff to a potential problem.
That would work. In fact the origination of the words '& Co' on the old
cheque crossing derives from a similar system years ago. When the drawer
wanted to ensure that the cheque was to be collected by a particular
bank they would write 'Barclays Bank & Co' with two lines across the
cheque. This then became merely '& Co' meaning the cheque had to go into
a bank account and couldnt be paid as cash.

I see no problem with your suggestion.
 

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