Query regarding PEO method of payment

[archna7]

Hi everyone,

One query regarding PEO method of payment for tier 1extn.

In the guideline it says they accept cheque/bankers draft as method of payment.

Do they accept bankers' cheque?
(cheque issued by the bank)

I am not able to understand difference between
bankers cheque and bankers draft.

My appologies for being novice but it will be helpful if you share experiences/guidance regarding this matter.

Thank you all, best regards,
Archna

[archna7]

anyone can help?
thank you,

[geriatrix]

Reading through this webpage should help you understand which methods of payments are accepted at the different PEOs.

[archna7]

Hi Sushmehta

Thank you for response to the query. I had read through the guideline provided on the link and payment information from the Tier 1 application form.

It clearly states that they accept banker's draft/cheque as one of the payment methods. But, still I have confusion regarding the difference between banker's draft/banker's cheque. I had also read info. from wikipedia and contacted some of the bank ppl. but noone actually seem to explain in proper way.

Any idea from you other members?

Thank you, best regards,
Archna

[geriatrix]

Banker's draft = Banker's cheque = bank cheque = cashier's cheque = certified cheque = demand draft.

[archna7]

Hi Sushdmehta,

Thank you for quick response and clarifying the confusion.
Believe me even the bank ppl. could not answer tat query in satisfactory way, but you have quite clearly clarified it. Thank you

When I went to the bank and asked for it, they have said, they are going to provide Counter Cheque (which is bankers cheque, I assume).
Pls, allow me to ask further question:

1) Counter cheque = Banker's cheque?

2) I am going to apply with my dependants (at the same time).
Do I need to get individual cheques for each dependant or combined would be ok?

(1 main + 3 dependent = 4 cheques or 1 cheque with total amount)?

Reason behind asking you this, becuase the bank is charging money to issue the bankers cheque!

Thank you, kind regards,
Archna

[geriatrix]

When I went to the bank and asked for it, they have said, they are going to provide Counter Cheque (which is bankers cheque, I assume).

Please name the bank. I suspect you went to a building society, but referring to it as a bank.

[archna7]

Hi Sushdmehta,

Thank you for quick response.

I have asked at Santander UK PLC.

Thank you, Archna

[geriatrix]

1) Counter cheque = Banker's cheque?

This Santander document, on page 7, suggests that there may be a difference between the two - because the two are listed separately.

What you are looking for is a negotiable instrument which, when issued to you, debits your account with the amount written on the instrument thereby "guaranteeing" payment by the bank to whoever is mentioned as the beneficiary on the instrument as soon as the instrument is presented for deposit. This is called payment on demand.

Such "guaranteed payment instrument(s)" do not go through the "clearing cycle" (payment on future date subject to clearing) as normal cheques do.

Only the bank staff can tell you whether a "counter cheque" issued by the bank is one of the instrument as explained above. I know that a banker's draft does.

Why not use postal orders and avoid these "technical confusions" altogether?

It is up to you whether you wish to use a single instrument for all applications or individual instruments for each application. Just make sure that whatever you opt for, you write down the name and date of birth of the applicant(s) on the back of the instrument(s).

[archna7]

1) Counter cheque = Banker's cheque?

This Santander document, on page 7, suggests that there may be a difference between the two - because the two are listed separately.

What you are looking for is a negotiable instrument which, when issued to you, debits your account with the amount written on the instrument thereby "guaranteeing" payment by the bank to whoever is mentioned as the beneficiary on the instrument as soon as the instrument is presented for deposit. This is called payment on demand.

Such "guaranteed payment instrument(s)" do not go through the "clearing cycle" (payment on future date subject to clearing) as normal cheques do.

Hi Sushdmehta,

Thank you for quick response.
I must say that you are like master of everything!
Thank you for finding out the document of Santander and clarifying the technicalities behind 'instruments' thing.
As you have advised, I'd try to avoid the confusion and pay by straight forward method.

Only the bank staff can tell you whether a "counter cheque" issued by the bank is one of the instrument as explained above. I know that a banker's draft does.

Why not use postal orders and avoid these "technical confusions" altogether?

It is up to you whether you wish to use a single instrument for all applications or individual instruments for each application. Just make sure that whatever you opt for, you write down the name and date of birth of the applicant(s) on the back of the instrument(s).

Postal orders going to be quite expensive and therefore, was exploring other options. I am going to ask about credit card as well to the bank ppl. I mean, how to inform bank that I am going to make a huge payment from my card and other things.

Thank you, kind regards,
Archna