Missing Cash

[Androcles]

I lent some money to a family member who was in dire straits so made a CHAPS transfer from a savings account to their account which was already set up for such transfers. Unfortunately, they had not told me that they had closed that account, and neither of us realised what had happened until the cash did not arrive.

I was able to transfer cash to the correct account, but now am faced with the problem of finding what happened to the money that went to the closed account. The savings institution concerned are on the case, but it has been over three weeks now and I am starting to get nervous.

What are my rights if the closed account number had been re-allocated and the individual receiving the money refuses to give it back? it was "my" mistake, but surely people cannot hold onto something which is not theirs - it is like finding a wallet in the street. And what about the receiving Bank - can they do anything to retrieve the cash?

[CheekyChops]

Account numbers are not usually reallocated to anyone else. The cash should have been returned to the sender but it obviously hasn't been, the institution you sent it to probably has it held on a suspense account until they get round to trying to sort it out.

Don't worry, you haven't lost the cash. Three weeks seems a bit long though, get on to your bank and chase them up. Even if it has gone to someone else (which is highly unlikely), they are not allowed to keep money that isn't theirs!

[factor-fiction]

Agree with some of your answer Cheeky Chops. One point though- it's common for people who receive large payments in error to spend it/hide it and then claim they didn't realise it wasn't theirs and can only afford to repay say �5 a month for the next 100 years. I see this every day at work.

[EverClean]

There is an offence of "theft by finding" but as factor30 says, this can be easily got around by stating an intention to pay and what they consider a reasonable payment plan. I'm sure that any reasonable offer to repay can't be refused, but there are no guidelines as to what would be deemed a "reasonable offer"

[Androcles]

Thanks folks - they are still trying to find out what has happened - i'll let you know what happened, even if only as a cautionary tale for somebody else.

A.