Question 1

Can I write a cheque if I do not have a bank account?

Accepted Answer

No, you cannot write a cheque without a bank account, as cheques are drawn against your account balance.

Question 2

Who is eligible to cross a cheque?

Accepted Answer

Only the account holder or the person authorized by the account holder can cross a cheque.

Question 3

What is a cheque book?

Accepted Answer

A cheque book is a book containing pre-printed cheques that an account holder uses to make payments or withdrawals.

Question 4

Can a cheque bounce?

Accepted Answer

Yes, a cheque may be returned unpaid if it does not meet the applicable banking requirements or due to other reasons permitted under the applicable laws and banking procedures.

Question 5

what is cancelled cheque?

Accepted Answer

A cheque with two parallel lines drawn across it and the word "Cancelled" written on it; used as proof of bank account details, not for transactions.

Question 6

what is bearer cheque?

Accepted Answer

A cheque payable to the person holding or presenting it; no identification is required to encash it.

Question 7

what is cross cheque ?

Accepted Answer

A cheque with two parallel lines on the top left corner, making it payable only into a bank account and not over the counter.

Question 8

What is a cheque in banking?

Accepted Answer

A cheque is a written payment instruction issued by an account holder directing a bank to pay a specified amount, subject to applicable banking rules.

Question 9

What are the types of cheques?

Accepted Answer

Common types of cheque in banking India include bearer, order, crossed, account payee, post-dated, and stale cheques.

Question 10

How long is a cheque valid?

Accepted Answer

A cheque is generally valid for three months from its date of issue, subject to the prevailing banking regulations.

What is Cheque? Definition, Features & Uses Explained