bank drafts

Irish-trucker

hello ,

ive just posted off a bank draft to holland , and now the lad over there says his bank will charge him €20 to lodge/cash this :rolleyes:

is he pulling the wool over my eyes and trying to do me out of 20quid

can anyone shed some light on this ?

thanks - john

antoinolachtnai

I'd say he's probably right.
The reason is that there is no central place for clearing cheques, drafts or otherwise, in Europe. They have to be negotiated directly between the banks, which is a slow and manual process.

If you want to send money around the eurozone on the cheap, use electronic funds transfer (which the bank has to provide at the same rate as a local transaction).

BC

A lot of banks do charge but its usually a small fee like 2 or 3 euro. 20 sounds like a lot!

nlgbbbblth

Irish-trucker wrote:

hello ,

ive just posted off a bank draft to holland , and now the lad over there says his bank will charge him €20 to lodge/cash this :rolleyes:

is he pulling the wool over my eyes and trying to do me out of 20quid

can anyone shed some light on this ?

thanks - john

he's right -

likewise if he sent you a euro bank draft drawn on a Dutch bank, you would be charged something like 0.75% max €30 to cash/lodge it. The commission charges for foreign euro cheques/drafts are far higher than those for Sterling/US cheques/drafts
reason - see antoinolachtnai's post

2 day payment within eurozone providing you have IBAN of beneficiary will cost you about 51c up to €12,500. And the beneficiary bank will usually take nothing off it either.