Forward dating cheques

Due to differences in time zones and bank processing delays, the value date for spot trades in foreign currencies is usually set two days after a transaction is agreed on.

The value date is the day that the currencies are traded, not the date on which the traders agree to the exchange rate.

Such financial products include forward currency contracts, option contracts, and the interest payable or receivable on personal accounts.

When a payee presents a check to the bank, the bank credits the payee’s account.

After verification is completed, which may include the completion of legal forms, a new cheque will be issued or a new payment will be deposited.

The superannuation program is administered by the Public Service Pension Centre of Public Works and Government Services Canada in Shediac, New Brunswick.

The value date is also used in the bond market to calculate accrued interest on a bond.

Calculation of accrued interest takes into account three key dates – trade date, settlement date, and value date.

Due to mail processing, it is possible that certain cheques may be delivered in advance.When there is a possibility for discrepancies due to differences in the timing of asset valuation, the value date is used.In Forex trading, the value date is regarded as the delivery date on which counterparties to a transaction agree to settle their respective obligations by making payments and transferring ownership.If there is no stub, please contact the Payment Products and Services Directorate, of Public Works and Government Services Canada, at 1-873-469-4105, or email the Receiver General for Canada ([email protected]).Receiver General cheques are never stale dated, meaning you can cash them no matter how old they are.

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