Asked by: Guoying Larrocha
travel travel accessories

What do you mean by Cheque?

21
A cheque, or check (American English; seespelling differences), is a document that orders a bank to pay aspecific amount of money from a person's account to the person inwhose name the cheque has been issued.


Regarding this, what do you mean by Cheque how we use Cheque?

Definition of a Cheque ↓ "Cheque is an instrument in writing containingan unconditional order, addressed to a banker, sign by theperson who has deposited money with the banker, requiring himto pay on demand a certain sum of money only to orto the order of certain person or to the bearer ofinstrument."

Furthermore, why is it called a check? It is speculated that check, meaning restaurantbill, originated from a few potential sources. It is thought tohave evolved from the term check as it is used in chess. Itmay have also derived from another, more literal meaning ofcheck, which is to ensure, or check, for accuracy ona document.

Simply so, what are the types of Cheques?

There are 14 types of cheques as under:

  • Order Cheque: A cheque which is payable to a particular personor his order is called an order cheque.
  • Bearer Cheque :
  • Blank Cheque:
  • Counter cheque:
  • Stale Cheque:
  • Multilated Cheque:
  • Post Dated Cheque:
  • Open Cheque:

What are the 3 parties to a Cheque?

"A check typically involves three parties, (1) thedrawer who writes the check, (2) the payee, to whose orderthe check is made out, and (3) the drawee or payor bank, the bankwhich has the drawer's checking account from which the check is tobe paid.

Related Question Answers

Dilara Barreiro

Professional

How is Cheque used?

A cheque is a written document instructing a bankor building society to debit your account and pay someone.Cheques can be used to pay money in and out of youraccount. Typically cheques are used to pay bills,tradesmen or to pay a someone face-to-face.

Florisa Castaños

Professional

How do Cheques work?

When you deposit a cheque into your account, yourbank will send the cheque to the bank of the person whowrote the cheque. That bank makes sure that thecheque is legitimate and there are enough funds in thecheque-writer's account to cover the cheque, and thensends the funds to your bank.

Benvingut Mette

Professional

What are the advantages of Cheque?

Advantages of making payments bycheque
It is more convenient than carrying cash around. Onedoes not have to count notes and risk making counting mistakes.Some are negotiable and can be endorsed in favour of a third party.A customer is send a statement at the end of eachmonth.

Felicita Cañada

Explainer

What is the importance of a Cheque?

Cheques are important because they providealternative means of holding cash for the cash owner. A personcannot hold money in the amount of millions. It would be too unsafeto carry or travel with having money in bulk amount, in that casecheques provide easier and safer medium to holdcash.

Neiba Jigalkin

Explainer

What are the characteristics of a Cheque?

What are Features of Cheques ? Characteristics ofChecks
  • Cheque is an instrument in writing.
  • Cheque contains an unconditional order.
  • Cheque is drawn by a customer on his bank.
  • Cheque must be signed by customer.
  • Cheque must be payable on demand.
  • Cheque must mention exact amount to be paid.
  • Payee must be certain to whom payment is made.
  • Cheque must be duly dated by customer of bank.

Elaia Nelso

Explainer

What is the Cheque number?

The cheque number is a unique number thathelps to identify a cheque. The following point will helpyou understand the cheque format. The six-digitnumber written at the bottom left-hand corner of thecheque is the cheque number. The MICR code is theMagnetic Link Character Recognition Code.

Terrence Sucena

Pundit

What is meant by order Cheque?

When the word “or bearer” printed on thecheque is cancelled and and the word 'order' may bewritten on the cheque, the cheque is called anorder cheque. An order cheque is one which is payableto a particular person. The payee can transfer an ordercheque to someone else by signing his or her name on the backof it.

Rudolph Bibitinsky

Pundit

What is open Cheque with example?

Open checks can be either a bearer or orderchecks. A crossed cheque is a cheque that has beenmarked to specify an instruction about the way it is to beredeemed. A common instruction is to specify that it must bedeposited directly into an account with a bank and not immediatelycashed by a bank over the counter.

Ivanilda Angoitia

Pundit

What is the size of a Cheque?

The recommended features for Chequesstandardization are outlined as under: Cheque Size: Thestandard length and height of the cheque should lie between17 to 18 cm and 7 to 8.5 cm respectively, while the weight ofcheque should be between 80-90 GSM. The cheque fontsize should be between 8 to 9 points.

Justyna Kouassi

Pundit

What is meant by Ante dated Cheque?

Ante means before. A post dated check isone that has a date on it later than today. You cannot cash ituntil that date. A antedated check is a regularcheck. It was dated earlier than today and can becashed immediately.

Nataxa Dubuc

Pundit

What is a check used for?

Checks are a safe and convenient way to pay.Checks are paper forms that people use to transfermoney from one place to another. A check is a written order thatinstructs a bank to pay a specific amount of money from a specificchecking account to a specific person or entity, for example, astore.

Marite Patzhold

Teacher

How do I deposit a check?

How to Cash/Deposit a Check With a Bank Teller
  1. Fill out a deposit slip.
  2. Endorse your check.
  3. Give the check and deposit slip to the teller; if you're askingfor cash along with your deposit, the teller will likely ask foryour photo ID, too.
  4. Swipe your ATM card and enter your PIN.

Laina Dange

Teacher

What is right check or Cheque?

In American English, check is the standardspelling of the noun referring to a written order for a bank to paya specified amount from deposited funds. Outside the U.S., the wordis spelled cheque. But cheque is confined to thisvery narrow banking-related sense.

Darcey Alastruey

Teacher

What is bank check?

A bank check, also known as a cashier'scheck, is a check that's issued and guaranteed by abank. When a checking account holder obtains abank check, the bank removes the specific amount ofmoney from the payer's checking account and moves it into aseparate account.

Liberia Zurriaga

Teacher

How do you write a check?

How to write a check.
  1. Step 1: Date the check. Write the date on the line at the topright-hand corner.
  2. Step 2: Who is this check for?
  3. Step 3: Write the payment amount in numbers.
  4. Step 4: Write the payment amount in words.
  5. Step 5: Write a memo.
  6. Step 6: Sign the check.

Mazhar Tenreiro

Reviewer

Is Cheque a money?

Cheques are a type of bill of exchange and weredeveloped as a way to make payments without the need to carry largeamounts ofmoney. No , a cheque can't be considered asmoney because of the following reasons : 1. A chequelacks general acceptability, i.e a person may refuse to acceptpayment in cheque.

Abubakari Jaulerry

Reviewer

Is Cheque or check paid?

A paycheck, also spelled pay check or paycheque, is traditionally a paper document (a cheque)issued by an employer to pay an employee for servicesrendered.

Nourreddine Ideias

Reviewer

What is difference between check and Cheque?

Cheque Meaning
A cheque is a document used by an account holderto pay out funds from her account. If you are American, youprobably call this a check. The cheque spelling comesfrom France. The French spelling had some use in the UnitedStates centuries ago, but now check isstandard.

Walther Bohmert

Reviewer

Who is the holder of a Cheque?

If it is a bearer cheque, the person in whosename it is made is a holder. If it is damaged the payee orlast endorsee is the holder. If it is stolen, then alsopayee or last endorsee is holder because a thief cannotbecome holder. The holder has the right to obtain aduplicate of instrument is lost.

Co-Authored By:

EveryThingWhat Staff Editor

6

27th February, 2020

58

85% of readers found this page helpful.

4.2/5

Click a star to add your vote

Similar Asks
Trending