BANKING AFFAIRS

Detailed explanation-1: -A banker’s cheque is a cheque issued by the bank on behalf of the account holder in order to make payment of a specified sum, by order, to another person within the same city.

Detailed explanation-2: -Crossed Cheque The lines ensure that irrespective of who presents the cheque, the payment will only be made to the individual whose name is written on the cheque, in other words, the a/c payee along with his/her account number. These cheques are relatively safe because they can be encashed only at the drawee’s bank.

Detailed explanation-3: -Local cheques are payable within the jurisdiction of the clearing house and will be presented through the clearing system prevailing at the centre.

Detailed explanation-4: -2. General: Definition of Multi-city cheque: Multi-City Cheque (MCC): It is a cheque drawn by a customer of the Bank in favour of a person/entity named therein and is payable at par at all branches of the Bank, subject to detailed terms and conditions as under.

Detailed explanation-5: -a cheque that is considered to be owned by the person who has it in their possession, rather than by a named person: It is illegal to send bearer checks in the form of postcards by bulk mail, because anyone can find your postcard check and cash it.