Account Payee Only Cheques

[Uzoma]

I'd like to know categorically if I would like to pay in a cheque crossed 'account payee only' in the name of A Smith, am I allowed to pay it in to an account in the name of J A Smith?

Would you be able to quote where on the web I can be 100% sure & accurate?

[khana]

Nearly 20 years of being a Banker tells me the categoric answer is no. However, if it is simply an error on the cheque and the letters have been transposed as in your example, then you will probably find that the cashier at the Bank you deposit the cheque in to will not notice and it will be credited ok.

Of course if they do notice, then you are going to have to get the cheque reissued.

[kempie]

The 1992 Cheques Act makes the collecting bank responsible to ensure that cheques crossed "Account Payee" are only paid into the accounts to which they are made payable.

There is leeway if you have a joint account; it could be paid into that joint account so long as the name appears as one of the account holders.

http://www.bba.org.uk/bba/jsp/polopoly.jsp?d=263&a=5603