Membership

Banks and building societies which clear cheques and credits though the GB clearings are required either to become settlement members of the Cheque and Credit Clearing System or to clear through an agency arrangement with one of the settlement members.

Direct access to the Cheque and Credit Clearing System

Banks and building societies wishing to become a settlement member must meet the eligibility criteria for joining the system.

Each member is individually responsible for processing cheques drawn by or credited to accounts of their customers.

The settlement members own the Cheque and Credit Clearing Company and each member has the right to nominate a Board representative, and to attend Board meetings and make decisions about how cheques are cleared.

Members do not have to participate in all three clearing systems but, in practice, they all do with the exception of the Bank of England, which is not a member of the euro cheque clearing system.

Application for membership

Any bank or building society wishing to become a member needs to apply in writing to the Managing Director. An organisation may apply to be admitted to participate in one or more of the cheque clearing system, the credit clearing system and the euro cheque clearing system. The application must set out sufficient detail for the C&CCC to satisfy itself of the prospective member’s compliance with, and its ability to continue to comply with, the eligibility criteria. There is an annual charge for being a member of the C&CCC and there is an initial joining charge. 

Further details on how to become a member and details about the various charges can be obtained by contacting the company at info@chequeandcredit.co.uk. 

Indirect Access to the Cheque and Credit Clearing System

400 banks and building societies provide cheque clearing services for their customers and obtain indirect access to the cheque and credit clearing mechanism by means of agency arrangements with one of the settlement members.  

These arrangements are separate from the C&CCC and are commercial agreements between the bank or building society concerned and the C&CCC member. Once the arrangement is in place the entity becomes an ‘indirect clearer’.