This is the safest type of cheque. Payment of cheque crossed generally or specially Double Crossing When a cheque bears two separate special crossing, it is said to have been doubly crossed. Crossing of a cheque means "Drawing Two Parallel Lines" across the face of the cheque.
Type: Special crossing Double Crossing .
The cancellation can be done only by the drawer of the cheques. Such a crossing is called “Double Crossing”. A+ rating by the BBB; Customized services for your business Crossing of Cheques – Types of Check Crossing May 15, 2016 by Umar Farooq There are three different types of crossing of cheques and by check crossing , we mean putting or drawing two parallel transverse lines on the front side of a cheque on upper left corner, with or without the use of the word like “& CO” “Not Negotiable”. What do you mean by double crossing of the cheque?
A cheque (also a bankers draft) can be crossed generally or specially to a banker by the drawer, or the holder thereof. According to section 131-A, these sections are also applicable in case of drafts. He can then withdraw the amount from his account. The drawer after opening the crossing will put his full signature and write “Pay cash” on the cheques. CROSSING OF CHEQUES Cheques can be of two types:- Open Cheque. However, we can negotiate a crossed bearer cheque by delivery and a crossed order cheque by endorsement and delivery. cheque images. As per section-127: “Where a cheque is crossed specially to more than one banker except when crossed to an agent for the purpose of collection, the banker on whom it is drawn shall refuse payment thereof.” Whenever the second banker acts as an agent to the first collecting banker, it is shown on the cheque by double crossing it.
A crossed cheque generally is a cheque that only bears two parallel transverse lines, optionally with the words 'and company' or '& Co.' (or any abbreviation of them) on the face of the cheque, between the lines, usually at the top left corner or at any place in the approximate half (in width) of the cheque. Thus, crossing is necessary in order to have safety. Double Crossing : A cheque bearing a special crossing is to be collected through the banker specified therein. It is basically a type of special crossing which is done in the case where banker does not have a branch in the bank which is acting as a drawer. Crossing of Cheque. A general crossing consists of two parallel lines drawn transversely the front side of the cheque with or without the word “& CO”. Not Negotiable Crossing A/c Payee Crossing Double crossing Not negotiable crossing The word not negotiable can be included in both general and special crossing The bank must be careful in paying such cheques The payment must be made only after the bank is satisfied that the person demanding payment, is the person entitled to get it in reality This double-line … Cheque crossed specially. of 249. bank check check bank white blank check bank cheque check bank icon business check icon banking check bank checkbook woman holding cheque cheque vector. Importance of Crossing of Cheque: The significance of crossing of a cheque is that a crossed cheque cannot be encashed by the bearer but can only be collected from the drawee bank in the bank account. Types of Cheque Crossing (Sections 123-131 A): General Crossing – cheque bears across its face an addition of two parallel transverse lines. Double Crossing : A cheque bearing a special crossing is to be collected through the banker specified therein.
123 and 126 of the Negotiable Instruments Act) Therefore, Crossing of cheque provides protection and safeguard to the issuer of the cheque.