General > General Technical Chat
Cheques being phased out in Australia by 2030
ataradov:
--- Quote from: nctnico on October 08, 2023, 11:44:26 pm ---So basically the banks can do what they like with the money for 24 hours.
--- End quote ---
I'm not sure they can. Because with this system, the money is not out of the issuing account. If they also consider the money to be available internally on their side, then the same money exists twice and can be invested twice by two separate banks. So, newly deposited check looks more like a credit, not the real money.
And given that it takes weeks to settle the transfer, the money would be doubled that way for a very long time.
vad:
Checks are still widely used by businesses here in the US, especially for B2B transactions. Organizing AP workflows and controls for check payments is easier than for ACH. Wire transfers are higher risk than checks and are more susceptible to fraud. I know of an incident where fraudsters using social engineering attempted to modify beneficiary details for a wire transfer of an 8-figure sum and were stopped at the last minute thanks to the vigilance of an AP clerk, but they were very close to success. Unlike wire transfers, checks can be canceled at least several days after issuance.
Halcyon:
--- Quote from: tggzzz on October 08, 2023, 10:21:09 pm ---
--- Quote from: Halcyon on October 08, 2023, 10:10:55 pm ---
--- Quote from: tggzzz on October 08, 2023, 10:05:47 pm ---
--- Quote from: TimFox on October 08, 2023, 09:30:45 pm ---Many of the above posters not only do not like or use checks themselves, they want to stop everyone else from using them.
--- End quote ---
Precisely.
It would be good to hear from those that use cheques, to find their use-cases.
Banks would like to save money by phasing out cheques. Use of cheques is diminishing, therefore the costs are diminishing - and that reason for preventing cheque use doesn't hold water.
Banks should serve their customers, not dictate how the customers have to behave.
--- End quote ---
I don't think it's just on the Government/banks. Consumer and business habits dictate this.
There is a reason most businesses these days don't use Telegrams, Telex, or even fax for that matter. How long do you go out of your way to support obsolete methods?
--- End quote ---
Since the mechanisms already exist, it isn't "out of your way".
You mention telex. One interesting aspect of telexes is that contracts could be legally enforced if telex comms were used, since the endpoints were rented from trusted third parties. Not so for emails, of course.
You continue to have the mechanisms until all of the use cases can be satisfied by other means. I have indicated a couple of problematic cases.
Backward compatibility is very important. IBM and Microsoft never break backwards compatibility, for sound reasons. There are even some unchanged Win3.1 dialog boxes in Win11!
--- End quote ---
You can only keep backward compatibility going for so long. Eventually it just becomes uneconomical to maintain. You can only flog a dead horse for so long.
Australia has already said goodbye to PSTN lines, Frame Relay, public pager networks, Telex, ISDN and probably others I'm not aware of.
Handing over little bits of handwritten paper to transfer money between bank accounts is as archaic as the bank transaction books that used to be printed using a dot matrix printer over the counter.
I can't think of a single use-case, other than consumer stubbornness, that can't be satisfied with current technologies, in a faster, cheaper and arguably more secure manner.
As for backwards compatibility within operating systems; it wasn't that long ago we were running 16-bit applications and drivers. Look at where that support is today.
jonpaul:
Bonjour,
After the inevitable hacks (banks, government, large firms) and possible future EMP your digital transactions will be at risk or lost.
Any important transaction should be preserved as paper and stored in a safe or deposit box.
DO NOT DEPEND ON ANY IMPORTANT ELECTRONIC PAYMENT TO BE PRESERVED .....MAKE A PAPER BACKUP.
In France and EU, chèques are used for ebay, le Bon Coin, etc as electronic payments like PayPal are not trusteed, and cost 3..10% fees.
In USA certain services , vendors will accept only cash or checks.
Jon
ataradov:
Also, don't rely on the car, they inevitably break down. Any important transportation should be done by horse buggies.
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