What is a Cheque ? Meaning ↓
Cheque is an of import negotiable musical instrument which tin endure transferred past times mere manus delivery. Cheque is used to brand rubber in addition to convenient payment. It is less risky in addition to 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 somebody who has deposited coin amongst the banker, requiring him to pay on need a certainly amount of coin alone to or to the lodge of certainly somebody 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 tally are non cancelled, the banking concern tally is called a bearer cheque. The bearer banking concern tally is payable to the somebody 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 tally tin collect payment from the bank.
2. Order Cheque
When the give-and-take "bearer" appearing on the confront of a banking concern tally is cancelled in addition to when inwards its house the give-and-take "or order" is written on the confront of the cheque, the banking concern tally is called an lodge cheque. Such a banking concern tally is payable to the somebody specified therein every bit the payee, or to whatever i else to whom it is endorsed (transferred).
3. Uncrossed / Open Cheque
When a banking concern tally is non crossed, it is known every bit an "Open Cheque" or an "Uncrossed Cheque". The payment of such a banking concern tally tin endure obtained at the counter of the bank. An opened upwardly banking concern tally may endure a bearer banking concern tally or an lodge one.
4. Crossed Cheque
Crossing of banking concern tally agency drawing 2 parallel lines on the confront of the banking concern tally amongst or without additional words similar "& CO." or "Account Payee" or "Not Negotiable". H5N1 crossed banking concern tally cannot endure encashed at the cash counter of a banking concern merely it tin alone endure credited to the payee's account.
5. Anti-Dated Cheque
If a banking concern tally bears a engagement before than the engagement on which it is presented to the bank, it is called every bit "anti-dated cheque". Such a banking concern tally is valid upto 3 months from the engagement of the cheque.
6. Post-Dated Cheque
If a banking concern tally bears a engagement which is soundless to come upwardly (future date) in addition to then it is known every bit post-dated cheque. H5N1 postal service dated banking concern tally cannot endure honoured before than the engagement on the cheque.
7. Stale Cheque
If a banking concern tally is presented for payment afterward 3 months from the engagement of the banking concern tally it is called stale cheque. H5N1 stale banking concern tally is non honoured past times the bank.
