NatWest "making banking safer"
Discussion
We just received a "making banking safer" leaflet from NatWest which includes this:
Under what circumstances would they credit my account before they receive the funds? How would anyone know when a credit is reversible, and when it's fully cleared?
Can't see how this makes my banking safer. Presumably the other banks have the same conditions.
Under what circumstances would they credit my account before they receive the funds? How would anyone know when a credit is reversible, and when it's fully cleared?
Can't see how this makes my banking safer. Presumably the other banks have the same conditions.
I am not sure what the change is, here.
When someone "pays you" £10 electronically, their bank does not send someone round to your bank with a £10 note. The net settlement between the banks is done with one net transaction some days later. Those too will be electronic now. But if the totals don't add up it all gets analysed, and if it was your payment that did not actually arrive it will be debited.
I think at the highest levels physical gold bars do still get moved between different piles in the same vaults.
When someone "pays you" £10 electronically, their bank does not send someone round to your bank with a £10 note. The net settlement between the banks is done with one net transaction some days later. Those too will be electronic now. But if the totals don't add up it all gets analysed, and if it was your payment that did not actually arrive it will be debited.
I think at the highest levels physical gold bars do still get moved between different piles in the same vaults.
WrekinCrew said:
We just received a "making banking safer" leaflet from NatWest which includes this:
Under what circumstances would they credit my account before they receive the funds? How would anyone know when a credit is reversible, and when it's fully cleared?
Can't see how this makes my banking safer. Presumably the other banks have the same conditions.
Simple version.....Under what circumstances would they credit my account before they receive the funds? How would anyone know when a credit is reversible, and when it's fully cleared?
Can't see how this makes my banking safer. Presumably the other banks have the same conditions.
........You can have a bank account credited, but it will be 'uncleared' funds initially. It only becomes cleared funds (on which you could then withdraw) when the bank clearing is completed - possibly the same night, or over a weekend. If, for any reason, the funds don't get cleared (error, immediate recall etc) then your bank will reduce your balance back to what it was prior to the transaction.
Vasco said:
Mr Whippy said:
So if you sell a car privately, and get your £10,000, then they drive off and the money doesn’t really go into your account?
Nobody should be parting with their goods until funds have cleared.Surely you need a ‘cleared funds’ balance, or a flag next to uncleared funds, or something?
Mr Whippy said:
Vasco said:
Mr Whippy said:
So if you sell a car privately, and get your £10,000, then they drive off and the money doesn’t really go into your account?
Nobody should be parting with their goods until funds have cleared.Surely you need a ‘cleared funds’ balance, or a flag next to uncleared funds, or something?
If you’re selling a car and the buyer fires you over the cash, you can’t wait overnight or the next working day to allow the car to be taken away.
BUG4LIFE said:
Mr Whippy said:
Vasco said:
Mr Whippy said:
So if you sell a car privately, and get your £10,000, then they drive off and the money doesn’t really go into your account?
Nobody should be parting with their goods until funds have cleared.Surely you need a ‘cleared funds’ balance, or a flag next to uncleared funds, or something?
If you’re selling a car and the buyer fires you over the cash, you can’t wait overnight or the next working day to allow the car to be taken away.
Otherwise, I'd always contact the bank involved to make sure funds have cleared BEFORE releasing expensive goods.
WrekinCrew said:
We just received a "making banking safer" leaflet from NatWest which includes this:
Under what circumstances would they credit my account before they receive the funds? How would anyone know when a credit is reversible, and when it's fully cleared?
Can't see how this makes my banking safer. Presumably the other banks have the same conditions.
Yeah I got the same it is odd, in terms of pending transactions those (for me anyway) are always when you've spent money and it shows a provisional balance which is fine, but when it comes to funds coming into the account it's either showing or its not, if it shows then its cleared however they seem to be saying that's not the case. Under what circumstances would they credit my account before they receive the funds? How would anyone know when a credit is reversible, and when it's fully cleared?
Can't see how this makes my banking safer. Presumably the other banks have the same conditions.
IIRC you used to get before apps and FPS incoming funds showing but clearly marked as not cleared a cheque payment for instance, however most transfer using FPS these days and it shows within minutes as cleared funds if the clearing happens later and they can reverse it that does have implications.
I recently sold 3 watches the value was around 3k per watch, if Natwest are saying that those FPS payments can with reversed at a later date after showing as cleared then that would have made the transactions more difficult, they need to flag payments as pending before they are cleared if that's the route they wish to go down.
Having said that they don't mention a particular payment type so perhaps it relates to issues they are having with other payments such as cheques/BACs and CHAPs.
BACs and CHAPs and direct payments to an account once received are cleared and cannot be reversed otherwise business wouldn’t work.
This is more to do with Debit card payments and purchases from a registered business where there are ‘protections’ buying goods - ie refund entitlements etc. and not Johnny Smith who buys an item from you as a private seller paying direct to your account from his.
I booked a holiday with a company that couldn’t go ahead due to Covid. They refused to refund my money so I submitted a claim via the bank as I paid by debit card. The bank agreed and refunded me my money but stated the company had time to appeal their decision and the payment could be reversed giving me advanced notice. They didn’t as I was cast iron in this case.
Luckily banks don’t follow eBay’s practices where they always seem to find in favour of the buyer and refund their money without much investigation.
This is more to do with Debit card payments and purchases from a registered business where there are ‘protections’ buying goods - ie refund entitlements etc. and not Johnny Smith who buys an item from you as a private seller paying direct to your account from his.
I booked a holiday with a company that couldn’t go ahead due to Covid. They refused to refund my money so I submitted a claim via the bank as I paid by debit card. The bank agreed and refunded me my money but stated the company had time to appeal their decision and the payment could be reversed giving me advanced notice. They didn’t as I was cast iron in this case.
Luckily banks don’t follow eBay’s practices where they always seem to find in favour of the buyer and refund their money without much investigation.
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