Argh one week to go

[BottomScratcher]

I wonder what they would say if I went to the bank and took it all out in $50 notes and handed that over for an almost $50k car... lol

Before anti-fraud measures saw changes to the legislation it was legal to write a cheque on anything at all, so long as the article itself was legal. Cheque books were issued by banks purely as a convenience.

In another life I had a 2 door hardtop XA Falcon that had taken a hit on the driver's side door. A panel shop did a completely botched job of repairing and respraying it, and I wasn't happy about paying for the disaster. The panelbeater started making noises about "debt collectors". I'm no shrinking violet, but decided to pay up. I went to a wreckers, bought a smashed in door, wrote a cheque on it it for the full payment, and took great delight in seeing the guy's face when I delivered it to him with a solicitors letter explaining that it was indeed legal tender for the full payment of my debt to him. It never got cashed. I heard he eventually saw the lighter side of it, and hung it on one of his walls.

[donweather]

BTW they did say they would accept the bank cheque just that you need to give it to them 3-4 days before you pick the car up..

Well there you have it. My suspicions have been confirmed. They just needed your money 3-4 days earlier. It had nothing to do with how you paid. Again, who pays that much amount of money without receiving the goods first. COD!!!

[wai]

weird, I paid bank cheque when I collected the car. no problems. bank cheques don't need to clear as the money is paid when the cheque is drawn.

sounds like some dealers are really not competent at all!

Bank cheques take exactly the same time to clear as a personal or company cheque. The only thing about a bank cheque is that it is written against funds, however the bank does not quarantine the funds until the cheque is presented. As such, there is no guarantee that a bank cheque will be good.

And yes, I have had a bank cheque dishonoured and was told exactly this.

[wai]

If a dealer doesn't accept a non-negotiable cheque which is made out to them with "or bearer" struck out that has been issued by a bank,i.e. it is not a personal cheque, and the funds are guaranteed by a bank, then I agree with donweather's summation earlier.

I bought a TV a few years back and paid for it by bank cheque. The TV was to be delivered the next day. Around mid-morning I received a call from the sales guy telling me that the shop had gone into liquidation but employees were instructed to keep accepting payments even though the goods were not available. He felt sorry for me and put the cheque in his pocket. He wanted my address so that he could post the cheque back to me.

I got the cheque a couple of days later, called the bank, told them what had happened and asked them what to do.

I was told to simply write "Pay to <my name>" and take it to any teller at any bank branch and they would exchange it for cash. There would be no checks to see if I was the one who originally requested the bank cheque.

So, a bank cheque is "just like money". Crossing a cheque is no guarantee that an unauthorised person will not be able to cash it.

[zei20t]

Bank cheques take exactly the same time to clear as a personal or company cheque. The only thing about a bank cheque is that it is written against funds, however the bank does not quarantine the funds until the cheque is presented. As such, there is no guarantee that a bank cheque will be good.

are you 100% sure of that?

every time ive 'bought' a bank cheque, the funds have been removed from my account at the time I 'purchase' the cheque.

personal cheques are completely different.

the whole idea of a bank cheque is the funds are essentially in the cheque.

[joele]

every time ive 'bought' a bank cheque, the funds have been removed from my account at the time I 'purchase' the cheque.

Agreed they have always withdrawn the funds on the spot before printing the bank cheque whenever I have got one in the past...

It is just a very insecure feeling paying them first, in full and then waiting to pick the car up, especially when ever other dealer I have dealt with doesn't work like that. What if there is something wrong with the car on collection day and I rightfully don't want to accept it? It its a bit of an uncomfortable situation.

I think the dealer in question really need to look into this policy as it goes against the grain of what any other dealer I know of does, and makes the customer very uncomfortable being told at the last minute about this unique rule...

I did actually contact skoda customer care about it as I was originally told it was a 'skoda stipulation' but skoda don't even care if their name its used like that...

[BottomScratcher]

I was told to simply write "Pay to <my name>" and take it to any teller at any bank branch and they would exchange it for cash. There would be no checks to see if I was the one who originally requested the bank cheque.

So, a bank cheque is "just like money". Crossing a cheque is no guarantee that an unauthorised person will not be able to cash it.

So how did you go? If it got cashed for you then it was done with disregard to some very basic banking laws.

Any cheque, personal or bank, that has been materially altered (as in changing the details of the amount, the name of the payee, the account details, etc,) should be immediately dishonoured when presented for payment. And of course banks never do anything for free. There's normally about a $25 fee to stop payment on a cheque, or for presenting a cheque which is dishonoured.

Crossing a cheque is a direct instruction to a bank not to cash the cheque over the counter, and writing "Account payee only" between the lines further instructs the bank to pay the funds only to an account held by the person/company named as the payee.

Usually a bank will want evidence of why someone is stopping payment on a bank cheque. They need to protect themselves in case a payee claims that a payment has not been made due to a cheque having been wrongfully stopped.

The thing of concern to me here is the total lack of trust on behalf of the dealer. Not wanting to leaving something to chance is one thing, but a bank cheque is a fairly secure method of payment, and not to trust someone with a bank cheque for 3 days that you are hoping to maintain as a future buyer/service customer is a pretty shabby start to the relationship.

[BottomScratcher]

Agreed they have always withdrawn the funds on the spot before printing the bank cheque whenever I have got one in the past...

It is just a very insecure feeling paying them first, in full and then waiting to pick the car up, especially when ever other dealer I have dealt with doesn't work like that. What if there is something wrong with the car on collection day and I rightfully don't want to accept it? It its a bit of an uncomfortable situation.

I think the dealer in question really need to look into this policy as it goes against the grain of what any other dealer I know of does, and makes the customer very uncomfortable being told at the last minute about this unique rule...

I did actually contact skoda customer care about it as I was originally told it was a 'skoda stipulation' but skoda don't even care if their name its used like that...

I couldn't agree more. On the bright side, I'm sure you'll enjoy the car more than the purchase experience. Isn't that what dealers call it these days, an "experience"?

The reality is that looking at Australian auto sales over the last couple of years, any dealer that has someone in the showroom ready to do a deal - let alone a deal on a make trying to get a foothold in an already tough market - ought to be jumping with joy at the prospect of notching up a sale. At very least, as I said before, the so-called "experience" should be a pleasant one, and involve a certain amount of give and take by both parties. Trust is best when it's a two way thing. Unfortunately, in this case the dealer expects you to trust them unconditionally. Based on what I wonder? I would've cited the number of Skoda dealerships that have suddenly shut their doors in the last three years as to why they could afford you a little benefit of the doubt.

As far as it being a "Skoda stipulation", then it must be a recent one. I bought my car about 18 months ago. On the agreed pick up day I gave the salesman a bank cheque for the balance owing after deposit, and he gave me a big smile, and the keys to my then brand new vRS.

After a couple of weeks you'll most likely get a phone call from the dealership customer service people asking how you feel about your sales experience. Tell them.

You'll probably also get a mailing from Skoda asking the same thing. Tell them.

[joele]

Personally I don't believe it is a skoda stipulation at all rather a southyarra vw one (they seems to own the skoda dealer I bought from).

Don't worry I will be very honest with skoda if they contact me.. LOL

Seems South yarra have a bad rap on this forum already..

http://www.vwwatercooled.com/forums/f27/vw-sth-yarra-service-72160.html

http://www.vwwatercooled.com/forums/f15/south-yarra-vw-service-11313.html

Not to mention numerous other threads like that I found on other forums..

[zei20t]

As far as it being a "Skoda stipulation", then it must be a recent one. I bought my car about 18 months ago. On the agreed pick up day I gave the salesman a bank cheque for the balance owing after deposit, and he gave me a big smile, and the keys to my then brand new vRS.

got mine in Feb, did the same as you; paid the balance via bank cheque upon collection.

[dArK5HaD0w]

I bought my car about 18 months ago. On the agreed pick up day I gave the salesman a bank cheque for the balance owing after deposit, and he gave me a big smile, and the keys to my then brand new vRS.

+1.
picked mine up in november 2010 though.

[donweather]

every time ive 'bought' a bank cheque, the funds have been removed from my account at the time I 'purchase' the cheque.

That's exactly what my bank has also done. Money is gone from my account as soon as I walk out the door with the bank cheque.

[wai]

So how did you go? If it got cashed for you then it was done with disregard to some very basic banking laws.

The bank accepted the cheque into my account. I got my money back.

I agree that it is a lack of trust on the part of the dealer, but then they might have been caught before. I know that some businesses I deal with charge a banking fee for all transactions other than electronic ones because it means they have to send someone in to the bank to deposit the cheque.

When I bought my Caddy Maxi Life, I took a bank cheque with me to the dealer and there was no problem.

[Tigger]

I actually picked mine up BEFORE the funds had hit their account!
The finance company had faxed confirmation to the dealer on Friday saying the payment had been made, but the dealer did not actually get the funds in their account until the following Tuesday!!

Needless to say they were very anxious (as was I) due to the finance companies stuff up delay.

Yet when I got to the dealer on Sat morning, I just politely stated that I would not be leaving without my car, and from my point of view it had been paid for, as I had been billed by the finance company. If that company had not then passed on the funds to the dealer, it was not going to be my problem...

[Bob51]

A few points :

Bank cheques are not totally without risk to retailers. Banks will not honour forged or fraudulently altered bank cheques - these are rare but do occur and if a dealer has released a car against one they could end up with the loss.

If you have bought a bank cheque and don't use it because the item you are buying is unsuitable you can take it back to your bank and get them to 're-purchase' it, which they will do for a fee.

Both my son an I have purchased a car this year and both dealers (Hyundai and Skoda) accepted bank cheques. Refusal to accept bank cheques will be a dealer decision not Skoda's.