What Is A Banking Enterprise Tally ? Definition - Kinds In Addition To Types Of Cheques

What is a Cheque ? Meaning ↓

Cheque is an of import negotiable musical instrument which tin live on transferred past times mere paw delivery. Cheque is used to brand rubber too convenient payment. It is less risky too the danger of loss is minimised.

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Definition of a Cheque ↓

"Cheque is an musical instrument inwards writing containing an unconditional order, addressed to a banker, sign past times the mortal who has deposited coin amongst the banker, requiring him to pay on need a certainly amount of coin exclusively to or to the lodge of certainly mortal or to the bearer of instrument."

Different Kinds / Types of Cheques ↓

1. Bearer Cheque

When the words "or bearer" appearing on the confront of the banking concern agree are non cancelled, the banking concern agree is called a bearer cheque. The bearer banking concern agree is payable to the mortal specified therein or to whatever other else who presents it to the banking concern for payment. However, such cheques are risky, this is because if such cheques are lost, the finder of the banking concern agree tin collect payment from the bank.

2. Order Cheque

When the give-and-take "bearer" appearing on the confront of a banking concern agree is cancelled too when inwards its house the give-and-take "or order" is written on the confront of the cheque, the banking concern agree is called an lodge cheque. Such a banking concern agree is payable to the mortal specified therein every bit the payee, or to whatever 1 else to whom it is endorsed (transferred).

3. Uncrossed / Open Cheque

When a banking concern agree is non crossed, it is known every bit an "Open Cheque" or an "Uncrossed Cheque". The payment of such a banking concern agree tin live on obtained at the counter of the bank. An opened upwards banking concern agree may live on a bearer banking concern agree or an lodge one.

4. Crossed Cheque

Crossing of banking concern agree way drawing 2 parallel lines on the confront of the banking concern agree amongst or without additional words similar "& CO." or "Account Payee" or "Not Negotiable". Influenza A virus subtype H5N1 crossed banking concern agree cannot live on encashed at the cash counter of a banking concern only it tin exclusively live on credited to the payee's account.

5. Anti-Dated Cheque

If a banking concern agree bears a appointment before than the appointment on which it is presented to the bank, it is called every bit "anti-dated cheque". Such a banking concern agree is valid upto iii months from the appointment of the cheque.

6. Post-Dated Cheque

If a banking concern agree bears a appointment which is all the same to come upwards (future date) thence it is known every bit post-dated cheque. Influenza A virus subtype H5N1 ship service dated banking concern agree cannot live on honoured before than the appointment on the cheque.

7. Stale Cheque

If a banking concern agree is presented for payment subsequently iii months from the appointment of the banking concern agree it is called stale cheque. Influenza A virus subtype H5N1 stale banking concern agree is non honoured past times the bank.