Does a Bank Draft Expire?

[MrEarl]

Hi,

Does anyone know if a Bank Draft expires, after a certain period (much like a cheque, after (I think) six months) ?

If so, is it unreasonable to expect the issuing Bank to replace it, without difficulty (possibly, subject to a modest charge) ?

 

[Sue Ellen]

Hi MrEarl,

Does Google give a satisfactory answer?

 

[RedOnion]

Does anyone know if a Bank Draft expires, after a certain period (much like a cheque, after (I think) six months) ?

Legally, no. But in practice some banks refuse to accept them after 6 months. If that happens and you have the original draft, it should be straightforward to get the issuing bank to replace it. The problems arise when you want to replace a lost draft.

 

[thedaddyman]

No, a draft doesn't expire like a cheque. Hence if a draft gets lost and you seek to replace it, the bank will usually ask you to indemnify them if the original draft ever surfaces.

 

[MrEarl]

... Thanks, everyone ...