# Cheques given boost by rapid smartphone deposit proposal - Link: https://fundraising.co.uk/2013/12/26/cheques-given-boost-rapid-smartphone-deposit-proposal/ - Published: 2013-12-26T10:35:32+00:00 - Author: Howard Lake HM Treasury is proposing to extend the life and utility of payment by cheques, still a popular method of giving by many charity donors. Despite the introduction of various methods of digital payments, including those from smartphones, paper-based cheques still remain popular with many. [HM Treasury](https://www.gov.uk/government/organisations/hm-treasury) will next year consult on introducing legislation to speed up cheque payments by combining them with smartphone technology. This would mean individuals and businesses could scan and send a photo of the cheque to their bank and expect this to be processed in two days, rather than the current six days that it can take. If the legislation goes ahead, the first payments, and therefore donations, by this method could be made by Christmas 2014. ## Advertisement Barclays is the first bank to trial this method of payment: it will test it with a number of customers early in the New Year. ## No smartphone? Customers without smartphones will be able to use similar technology at cashpoints or in bank branches or continue to pay in paper cheques as they do now. ## Role of cheques The Treasury says that nearly £840 billion of cheques were processed last year. Although the number of cheques being used is in decline, this still represents 10% of all payments made by individuals. The cheque is still the most trusted method of sending money through the post: 23 million cheques were sent via the post as gifts last year. Businesses accounted for over 370 million cheque transactions in 2012: 25% of payments made by small businesses were by cheque in 2012. ## Future of cheques Following public concern about [proposals to phase out payment by cheque](http://www.parliament.uk/business/committees/committees-a-z/commons-select/treasury-committee/inquiries1/parliament-2010/cheques/) in 2018, the Treasury Committee re-opened its enquiry into the future of cheques in 2011. In July that year, the Payments Council announced that it had withdrawn its plans to abolish cheques and confirmed it would maintain the cheque system. Financial Secretary to the Treasury, Sajid Javid, said: > We want to see more innovation so that customers see the benefits of new technologies. > That is why we’re creating a new payments regulator and why we are going to consult > on speeding up the cheque clearing process. > We want to take the very best of the current system and make it better. We want > to cheques to have a crucial role in the ongoing success of the UK. Adrian Kamellard, the [Payments Council](http://www.paymentscouncil.org.uk/) Chief Executive commented: > It’s clear customers want as much choice as possible and given that customers > have made it clear that they want cheques to stay it’s entirely right that the > government consults to understand the public’s view on speeding up the clearing > of cheques. Graham Fisher, Chief Executive of [Toynbee Hall](http://www.toynbeehall.org.uk/) added: > Financial Inclusion is about meeting the needs of all the population, from those > who prefer more traditional services, to people who embrace technological advancements. > We welcome HM Treasury’s announcement today that they are consulting on increasing > the means by how people can access money through turning cheques into cash. Having > financial inclusive systems for the whole population is vital and this is an important > step towards it. * **[New Gift Aid declarations to be trialled this summer](https://fundraising.co.uk/2014/04/15/new-gift-aid-declarations-trialed-summer/)**( 15 April 2014) * **[Winners of Payroll Giving Awards 2014 announced](https://fundraising.co.uk/2014/11/12/winners-payroll-giving-awards-2014-announced/)**( 12 November 2014) * **[Don’t confine discussions about Gift Aid to the small print](https://fundraising.co.uk/2014/11/21/dont-confine-discussions-gift-aid-small-print/)**( 21 November 2014) ## Comments ### By: Mark P Trotter - Link: https://fundraising.co.uk/2013/12/26/cheques-given-boost-rapid-smartphone-deposit-proposal/#comment-3961 - Published: 2013-12-26T10:45:00+00:00 Sadly I can foresee a number of problems and issues with this, the primary reason for dropping cheques for my fundraising activities linked to ease of fraud and donor denial. So we stopped receiving donations by cheque 5 or 6 years ago and will not return to even though clearing is reduced to two days.