Bank Draft - lost - help

Hi
i gave my son a bank draft made out to ul (university of limerick) to pay for accomodation he has lost it
will it be safe till i manage to cancel it
or can someone else cash it?
thanks

Nobody can cash a bank draft. It's non negotiable and has to be lodged into the a/c of the payee, in your case UL.
Go to your bank and cancel it. When you cancel it they will issue a new one to you.

I have a vague memory that in the case of a bank issuing a duplicate draft they may ask you to sign an indemnity against any loss they may incur in doing so. I may be incorrect in saying this .

dewdrop said:

I have a vague memory that in the case of a bank issuing a duplicate draft they may ask you to sign an indemnity against any loss they may incur in doing so. I may be incorrect in saying this .

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That's correct, a bankdraft can't be stopped in the same manner as a cheque can as it is drawn on the bank rather then a customer. Whilst (assuming it is crossed correctly) it can only be lodged to the account of the payee, were it to resurface and be lodged to the UL account, even in error, you could be liable for both drafts.

Yes you do have to sign an indemnity and this is why I suggested actually calling into the bank.
Most drafts now have automatic crossings on them so there would be no doubt about the correctness of the crossing.
If it were lodged to the UL a/c after it had been stopped it would be returned unpaid. The indemnity is in case the buyer tries to process it himself, seeing as he's the only other person that can transact it.
A draft cannot be stopped for any reason other than being lost or stolen, as being prepaid they are normally taken on good faith.