Updated: As of September 15th, 2019, the fee cap also applies to Imprest (on demand) cheques issued by the Ministry of Children and Family Development.
We’re taking an opportunity to remind consumers and businesses how much can be charged for cashing certain kinds of government cheques.
What types of cheques are we talking about?
These laws only apply to:
- BC Employment and Assistance cheques issued by the Ministry of Social Development and Poverty Reduction. The Ministry only issues two kinds of cheques. The two cheques we’re talking about will indicate (on the face of the cheque) either:
- “BC Employment and Assistance” or
- “BC Employment and Assistance Imprest Account”
- Imprest (on demand) cheques issued by the Ministry of Children and Family Development (MCFD).
BC Employment and Assistance cheques include 2 electronic signatories rotated monthly issued on blue, green, or pink cheque stock.
Learn how to identify these cheques
See some examples
What’s the most amount that can be charged?
The most that can be charged to cash a BC Employment and Assistance cheque is either $2 plus 1% of the cheque amount or $10 – whichever is less. This means it should never cost more than $10 to cash these cheques.
Who does this law apply to?
The fee cap applies to any business who cashes these cheques. However, the fee cap does not apply to manually printed cheques. These cheques are only issued in extreme circumstances. The payment details and signatures on these cheques are filled out in handwriting.
Where do I go with questions?
If you’re a consumer or a business looking for more information on your rights and obligations when it comes to cashing these kinds of cheques, you can contact us for help by filling out our online complaint form.
About Consumer Protection BC
We are responsible for regulating specific industries and certain consumer transactions in British Columbia. If your concern is captured under the laws we enforce, we will use the tools at our disposal to assist you. If we can’t help you directly, we will be happy to provide you with as much information as possible. Depending on your concern, another organization may be the ones to speak to; other times, court or legal assistance may be the best option. Explore our website at www.consumerprotectionbc.ca.
There should be no fee to cash these cheques. The people who use these cheque cashing facilities usually have no I D to be able to use a regular bank.
What about employment assistance cheque’s issued by a First Nation?
Hi AJ, thanks for reaching out to us here. The only cheques that the fee cap applies to are the ones we explain in the blog post. If you look at the examples of the cheques that we shared, you’ll know what to look for. If the cheque looks the same as those, then I would imagine the laws apply. Please let me know if you have any questions.
Hi Amanda, I read your reply to AJ with interest, you said you imagine, I find this term confusing because there is a difference between imaginings and knowing. I am confused if First Nation assistance cheque’s fall under the regulation.
Hi KG, thanks for your question. These laws only apply to BC Employment and Assistance cheques issued by the Ministry of Social Development and Poverty Reduction. I wasn’t sure if First Nation assistance cheques come from the same Ministry – if they do not, then the laws do not apply. More info about identifying these types of cheques can be found above. I hope this clarifies things!