MANAGER’S

CHEQUE

A cheque issued by the bank, payable to a payee as

indicated by the person who buys the MC. It is often used in
situations when the beneficiary does not accept cash or
personal cheques.

STALE
CHEQUE

a check that is presented to be cashed or deposited at a

bank six months or more after the date it was written. The date
when the check is presented to be cashed or deposited in a
bank account is known as the payment date.
POST-DATED
CHEQUE

When the date mentioned on the cheque is yet to come. These types
of cheques are issued on mutual agreement of payer and payee. However,
these types of cheques cannot be paid before the date written on the
cheque. It can only be paid on or after (up to three months) the date
mentioned on the cheque. It is suggested to check the date written on the
cheque before accepting it from the payer. It is used very commonly in
businesses as a Post-dated cheque can be taken as collateral..

TRAVELLER’S
CHEQUE

A medium of exchange that can be used in place of hard currency.

It is a cheque for a fixed amount that may be cashed or used in payment
abroad after endorsement by the holder's signature.
COMMERCIAL
CHEQUE

A financial account that is owned and used by a business or

corporation. Checking or other types of demand deposit accounts are
considered commercial accounts. The Federal Reserve instituted
Regulation Q which prohibits banks from paying interest on this type of
account.

ORDER
CHEQUE

Is one which is payable to a particular person.

The payee can transfer an order cheque to someone
else by signing his or her name on the back of it.
BEARER
CHEQUE

Can be transferred by mere delivery; they need no

endorsement. In simple words a cheque which is payable to any
person who presents it for payment at the bank counter is called
'Bearer cheque'

CROSSED
CHEQUE

Is any check that is crossed with two parallel lines, either across the
whole check or through the top left-hand corner of the check. This symbol
means that the check can only be deposited directly into a bank account and
cannot be immediately cashed by a bank or any other credit institution.
 UNCROSSED OR
OPEN CHEQUE

A cheque that is not crossed on the left corner and payable at

the counter of the drawee bank on presentation of the cheque

ANTI-DATED
CHEQUE

When an earlier date is mentioned on the cheque than the date it is

brought to the bank. These types of cheques remain valid for the duration of
3 months, after three months these types of cheques become invalid and
cannot be encashed. Therefore, it is important to write the correct date on
the cheque and encashed it before the duration of three months.
MUTILATED
CHEQUE

If it is torn into two or more pieces. Such a cheque, if it

presented for payment, will not be paid by the banker unless
the mutilation is confirmed by the drawer of the cheque.