BANKING AFFAIRS

Detailed explanation-1: -A check is a written, dated, and signed instrument that directs a bank to pay a specific sum of money to the bearer. It is another way to instruct a bank to transfer funds from the payor’s account to the payee or that person’s account.

Detailed explanation-2: -A bank draft is a negotiable instrument where payment is guaranteed by the issuing bank. Banks verify and withdraw funds from the requester’s account and deposit them into an internal account to cover the amount of the draft. A seller may require a bank draft when they have no relationship with the buyer.

Detailed explanation-3: -A money order is a certificate, usually issued by a government or banking institution, that allows the stated payee to receive cash on demand. A money order functions much like a check, in that the person who purchased the money order may stop payment.

Detailed explanation-4: -You’ll also need to bring a valid form of payment to buy the money order-cash, traveler’s checks, and debit cards are all generally accepted by most issuers.