Cash Business Cheque to personal account

Discussion in 'Accounts & Finance' started by MassiveTests, Jul 19, 2017.

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  1. MassiveTests

    MassiveTests UKBF Contributor Free Member

    56 2
    Hi guys,

    Been using a personal account for my limited company.

    One of my customers has decided they want to pay by cheque. I've asked them to make it out to me personally using my name as payee rather than my ltd company name.

    If they do send it with my company name instead, do you know if it is still possible to cash the cheque into my personal account?
     
    Posted: Jul 19, 2017 By: MassiveTests Member since: Nov 3, 2015
    #1
  2. johndon68

    johndon68 UKBF Big Shot Full Member - Verified Business

    3,445 634
    No, if they make it out to the Ltd company then it has to go in to an account in that name.
     
    Posted: Jul 19, 2017 By: johndon68 Member since: Nov 2, 2009
    #2
  3. STDFR33

    STDFR33 UKBF Big Shot Free Member

    4,520 1,203
    Running a personal account for a limited company is not advised and there are potential tax consequences of doing so.
     
    Posted: Jul 19, 2017 By: STDFR33 Member since: Aug 7, 2016
    #3
  4. nelioneil

    nelioneil UKBF Enthusiast Full Member

    651 94
    Also the bank could close down your account if they see business transactions going through your bank account.
     
    Posted: Jul 20, 2017 By: nelioneil Member since: Jan 22, 2013
    #4
  5. MassiveTests

    MassiveTests UKBF Contributor Free Member

    56 2
    Any legal issues if the client makes a cheque out to me personally rather than to my business?
     
    Posted: Jul 23, 2017 By: MassiveTests Member since: Nov 3, 2015
    #5
  6. Scalloway

    Scalloway UKBF Legend Free Member

    16,568 3,509
    Posted: Jul 23, 2017 By: Scalloway Member since: Jun 6, 2010
    #6
  7. nick34785

    nick34785 UKBF Regular Free Member

    132 11
    Could you endorse the check over to yourself ? Is that possible in the UK? It would work in the US.
     
    Posted: Jul 26, 2017 By: nick34785 Member since: May 25, 2014
    #7
  8. MassiveTests

    MassiveTests UKBF Contributor Free Member

    56 2
    I'm in Hong Kong
     
    Posted: Jul 26, 2017 By: MassiveTests Member since: Nov 3, 2015
    #8
  9. obscure

    obscure UKBF Ace Free Member

    3,340 873
    I was going to ask why you didn't open a business account but the above explains everything - HSBC make it all but impossible for small businesses to open a business account in HK. It is absolutely crazy (not sure about the other banks).

    But seriously, you need to be paying this money into a business account. It is not your money it is the companies money. When the tax man comes knocking they will see all this money going into your personal account and may well assume it is all salary... and thus subject to income tax.
     
    Posted: Jul 26, 2017 By: obscure Member since: Jan 18, 2008
    #9
  10. RedApple

    RedApple UKBF Contributor Free Member

    31 0
    Definitely, you cant encash the cheque and deposit it to your account if its not under your account's name. Hence, a business account is different from a personal account. I don't think a particular financial institution will permit the deposit.
     
    Posted: Jul 26, 2017 By: RedApple Member since: May 31, 2016
    #10
  11. MassiveTests

    MassiveTests UKBF Contributor Free Member

    56 2
    I gave up with HSBC.

    I'm trying to set up with SCB but they're pretty useless as well. I have been chasing an appointment with them for months.

    Not really sure where to go with this. :/
     
    Posted: Jul 26, 2017 By: MassiveTests Member since: Nov 3, 2015
    #11
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