Depositing money from US bank account into UK bank account via a US check

I'm sorry If I should not have started a new thread for this question as there are similar threads already going.

I am in the process of wiring money from my US bank account into my UK account through an XEtrade company called UKforX.  Everything was set up on the UK side and the next step was to call my US bank and give them the details.  I was told by more than one person that I can't do this over the phone, only in person at one of the bank branches.

That's not possible since I am in the UK now.  But the woman on the phone said to me, "Why don't you just write a check out from yourself (and the US bank account) to yourself and deposit that into your UK bank account?"  She said it would be fine no matter how large the amount was for.  She said there will not be a charge from my US bank for doing this.

I will call my UK bank on Monday and see what they say.  I do know that it may take at least a few weeks for a check written in dollars to clear into my account, but that's OK.

Any opinions here?  Why doesn't everyone else do it this way?  Is it because of the exchange rate?

Lots of reasons actually....

1) Your bank in the UK may not be able to process a USD check. It may only accept GBP deposits.

2) The exchange rates offered by banks are usually horrendous....though there are exceptions to every rule (I would find out from your bank what rate they offer to convert USD to GBP; assuming they can convert)

3) On top of that there is usually a transaction charge

XETrade offers better exchange rates than banks (usually) and that's why it has proven to be popular.  However, they may not offer the best rate either. That's why it may be worthwhile to shop around.

You should be able to conduct a ACH transaction from your US bank into you XE Trade account....unless your bank in the US doesn't offer ACH??  ACH is where you setup a billpay and let your bank know what the routing and account numbers are.

I've deposited US cheques into our Barclays account and they credit the money immediately, but the fee if the cheque bounces is higher. The call the process 'Cheque Negotiation.' The admin fee for depositing a foreign cheque was only about £5 and that was based on a percentage. I felt like it was a pretty fair deal.

What does ACH stand for?  I guess I could call them back and ask about this.  My US bank is Wachovia.

I found this on Wachovia's site: 

ACH

ACH allows you to initiate payments through the Automated Clearing House system. These payments will be processed electronically with an effective date one business day after entry.

I tried to deposit a check once in my UK account and was told that it would be about a £30 charge (if I am remembering right).  It wasn't worth it as a means of getting money over--just withdrawing something on an ATM was much cheaper than that.  I use XE trades to get money transferred.

It depends on the bank. My husband has deposited US checks into Abbey and it's taken ages.  He's since opened an account with HSBC and it's much quicker and fees are cheaper.

They are checks from businesses though; might be different with a personal check.

We took a personal US cheque once, and were told that it would take about 6 weeks to clear.

Vicky

Would it help if your bank has branches in both the U.S. and in England/Europe?

We opened an HSBC savings account in the States and used the HSBC debit card whilst in England and France with no problem.  When we move to the UK, we're hoping moving funds will be easier through HSBC.

What about setting up 2 PayPal accounts to both your bank accounts then transfering? is that cheaper??

PayPal usually hits you with exchange charges that can tend to be higher than your bank.  Ultimately it really depends on how much money it is that you're moving to how much (if any) you'll be charged.

In all honesty Andee IMO you may be better off waiting to speak to your bank on Monday to see if they'll accept a USD check and how much they'd charge...

Usually I take money out with my US debit card, but I'm limited to $300 per day, but I usually don't take a lot out at any given time.  When I have checks sent to me & DH we take them to the bank and deposit them (we get them cashed for free and at a preferential rate because DH works for "the world's local bank").     However, they usually go through quite quickly.

Great question Andee. I am fixing to have the SAME problem with a very large amount.

When my ex was sending me child support I deposited the USD check into our Lloyd's account and they always took it and we had the money usually within 3-5 working days.

I also know that a friend of mine transferred about 35,000 GBP from her account on the mainland and deposited it here on the IOM and it was held up for about 7 weeks due to them checking on money laundering.

So I will call my bank on Monday and ask as well. I just don't know how to get the money from my house sell to the UK.....

Just checked on HSBC website.

They also help with moving to other countries! They can help set up accounts and also credit cards.

They have 3 branches in Houston...Phew that solves a big problem for us.......

Don't forget that if you are bringing money to the UK that the remittance may well be taxable in the UK.  You should take advice on this before the act, especially because the rules are quite different from 6 April 2008.

Thank you everyone for your suggestions.  Pkanka--I will check that out on Wachovia's site. 

We are not talking loads of money here--just enought to pay back some credit card debt.

I will still check with our UK bank (The Co-operative Bank) to see what the fee is, if any, and how long a US check takes to clear.