Most of our invoices are now paid electronically via BACS, standing order or direct debit, but having not had any for a while in the last week we received 2 cheques for payments.
Obviously I don’t have a problem receiving cheques, the bill is still being paid after all, but it made me realise the extra effort that needs to be made to bank them. If a payment is made electronically, it can be in the bank the same day, or very shortly after, and all I would have to do is log on to my account to check the payment is there. When it comes to cheques though, I have to fill in a paying in book, a separate record and a special envelope to enable me to pay it into my local post office. I then have to travel the 3 miles to the post office or over 20 to my nearest branch to pay the cheque in. After that the money is still not in my bank account, I still have to wait until the cheque has cleared. This can be between 3 and 5 days. How much extra time has this taken me?
I won’t begrudge any of you that like paying by cheque, some things I have to pay be cheque as electronic payments are unavailable at some places, but are you still accepting cheques in your business or do you prefer the quicker (and less hassle) electronic payments? I agree the nature of your business could be different to mine, but when you look at the time involved, I’m sure you would agree that electronic payments are so much easier 🙂