BANKING AFFAIRS

Detailed explanation-1: -You do a blank endorsement by simply signing your name on the back of the check. Then, when you’re at the bank, you tell the teller if you want to cash it or deposit it. People will also do a blank endorsement when they’re depositing a check through an ATM or using mobile deposit.

Detailed explanation-2: -Blank endorsement is a kind of signature on a financial instrument. It has no designated payee, so the person who possesses it can demand payment, for example, a check made payable to cash and endorsed on the back with the signature of the account held.

Detailed explanation-3: -A blank endorsement is a signature on a financial instrument such as a check. No payee is specified, so any holder of the instrument could claim payment. The signature essentially turns the instrument into a bearer security. That is, it is not registered to any individual but is payable to the person who possesses it.

Detailed explanation-4: -Since a blank endorsement can be negotiable by anyone who presents it for payment, this type of endorsement should be used when depositing in person to minimize fraud risk. A special endorsement is when the member specifies that the check is “For Deposit Only” above their signature.