Cheques dated after 30 June 2011 will no longer be guaranteed
A guaranteed cheque is simply a cheque that is guaranteed up to a certain amount. It has to be signed in front of the person receiving it, who writes the card number on the back of the cheque in accordance with the scheme rules.
You can still accept cheques, although payment won't be guaranteed. This means that if your customer doesn't have enough money in their account to cover the cheque, it may be returned to you unpaid, for which there is a charge.
There are plenty of alternatives - debit cards, credit cards, charge cards, electronic payments and cash. A lot of businesses already accept plastic card payments. If you don't, and would like to, we're happy to help set this up.
This means that you can continue to write cheques after 30 June 2011, they're just not guaranteed. There are plenty of alternatives - debit cards, credit cards, charge cards, internet and telephone banking, standing orders, Direct Debits, bank transfers and cash.
We'll start issuing cards without the Shakespeare logo or cheque card hologram from 1 June 2011, so you might receive one before the scheme actually ends. If not, when your card does expire, or is replaced, we'll send you a new one without the logo or hologram on the back.
Since guaranteed cheques are being used less and less, the Payments Council decided to close the UK Domestic Cheque Guarantee Card Scheme on 30 June 2011. This affects customers (individuals and businesses) of all banks across the UK. We told you about these changes when we updated our Terms and Conditions which were effective from 25 October 2010 for new customers and from 1 January 2011 for existing customers.
Textphone 18001 0845 712 5563
or speak to a member of the Business Banking team in any branch.
When the cheque guarantee scheme ends in June this year, you must consider the alternatives for taking payment if you accept guaranteed cheques from your customers today.
The alternatives to guaranteed cheques which will continue to be available from July are:
HSBC Merchant Services LLP is HSBC's preferred strategic partner for card processing in the UK. It is a wholly owned subsidiary of Global Payments Inc and is not part of the HSBC group of companies.
Textphone 18001 0845
Save time and money by accessing a range of great offers on the business card offers website.
The links on this page will open a new browser window and may:
i) Allow you to access other websites. Please read the linked websites' terms and conditions. HSBC Bank plc has no control over non-HSBC websites and is not liable for your use of them.
ii) Allow you to access another HSBC Group website. Please read the terms and conditions of the linked website, which may differ from the terms and conditions of HSBC Bank plc's website.
1Lines are open 9am to 5pm Monday to Friday except public holidays. To help us continually improve our service and in the interests of security, we may monitor and/or record your telephone call.