Using Cash Fraud??

[itsmefolks]

I have a business account and a personal account. I pay card transactions into the business account and cash into the personal account to avoid bank charges. I then transfer the cash across from the personal account to the business account. I have been told by the bank that I am commiting fraud!! Why is this when my accoutant says it is ok to do this as long as everything is declared, which of course it is. Many thanks anyone in advance.

[Peter Pedant]

I have tos ay I am not sure what is going on here

shelve the slander letter
I think I might revisit the bank for a clarification - it depends on whether a 17 y o old school leaver said it or the manager

and then think of transferring accounts.


I would be interested to know who they think the fraud is on -
it may be on themselves because they are missing out on commission - in which case definitely time for a change

[Eve]

Factor's post was what occurred to me, as we don't know the frequency and amounts or any other factors, whether they are watching their backs and querying in case of money laundering.

Though I do get Barmaid's cynic post :)

[itsmefolks]

1k maybe 1.5k a week cash!!

[sue11]

I think that the answer given by ummm was correct in the reasons why the bank does not allow anyone to use a personal account as a business account. The same goes for a personal credit card, I remember being warned by our credit card company when we put more than usual amount of transactions on it, that it must not be used for business transactions.
I guess that there will be something in the t&c's that says a personal account cannot be used as a business account. It does stand to reason to do this or we could all avoid bank business charges by using personal accounts. I would double check this before you send a letter accusing your bank of slander, they could advise you that they will close your personal account, as you have not complied with the terms and conditions and you may be left with egg on your face!
And yes, banks do charge for banking cash, although I believe that some banks will let some businesses have elements of banking free, if their turnover is under a certain amount each year.
Hope this helps
Sue