LAWLIGHTS- HOW MANY TYPES OF CHEQUES ARE THERE? PART (II)

LAWLIGHTS- HOW MANY TYPES OF CHEQUES ARE THERE? PART (II)

In last post I have explained the main types of cheques (type 1 to 5) which are often used by the people here I’m going to explain the remaining types and for what purposes they are been listed.

Also read Cheque and its types part (I)click here.

TYPE 6:

POST DATED CHEQUE:

a.      When the payee needs money which can be drawn later from the bank.

b.     If drawer is filling the cheque in some date but he wants to withdraw not on the date of filling but after some time.

c.      In that case this post -dated cheque can be used.

REQUIREMENTS:                

a.      Date of filling the cheque by the drawer should vary from the date of withdrawal or transfer of money (after the present date).

b.      Date of filling cheque: JAN 10, 2020

           Date of withdraw or payment:    JAN 30, 2020

TYPE 7

ANTE DATED CHEQUE:

a.      Drawer mentions the earlier date in the cheque.

b.     The date in the cheque is prior to the present date.

REQUIREMENTS:

a.      Date on the cheque: FEB 21, 2020

b.     Current date: MAR 5, 2020.

TYPE 8:

SELF CHEQUE:

a.      Drawer can issue a cheque on his own name when he needs money.

REQUIREMENTS:

a.      In the place of payee’s name drawer can write his name and withdraw money from the bank by visiting directly to the bank where he is having bank account.

TYPE 9:

TRAVELER’S CHEQUE:

a.   This type of cheque is used by the person while travelling to abroad countries where they can get encashment with this cheque for the same where Indian money cannot be used.

REQUIREMENTS:

a.    Person travelling to abroad countries

b.  Indian currency is not used.

TYPE 10:

MUTILATED CHEQUE:

a.  This cheque is named as mutilated because when it reaches bank it is in the state of two or more pieces which is torn.

REQUIREMENTS:

a.   Torn cheque

b.   Information in the cheque is torn into more pieces.

c.  Bank shall deny the cheque or say invalid, until drawer gives verification about the cheque.

d.   If it is lightly damaged in corner sides bank may proceed with the cheque.

e.  Verification is must in this case.

TYPE 11:

BLANK CHEQUE:

a.  It has only the drawer’s signature in it.

REQUIREMENTS:

a.  Blank cheque

b.  Only drawer’s signature.

c.   Other information field left empty or unfilled
.

 Those explained types of cheques are the most used cheques in INDIAN BANKING SYSTEM and these information regarding usage and purpose of cheques are important, taught this to the people who are not aware of it and it may help them and prevent from various mal practices, cheating, fraud, wrong intention, etc.