Features of Cheque

By law, a check is a type of exchange bill. That is, it is an unconditional instruction to pay. The importance of checks in today's society can be seen in its widespread use.  Its salient features are as follows:

1. Written documents: Any document is written.  Since check is a kind of transferable document, it has to be written regularly. The check is written on the page of a specific printed check provided by the bank. Such writing does not only mean handwriting, it can also be typed.

2. Signed by the appropriate party: The check must be signed by the depositor. Such signature must match the sample signature of the depositor kept in the bank. If the signature does not match, the bank returns the check.

3. Pluralities of parties: A check always has more than one party. On one side there is the order or depositor of the check and on the other side there is the order or the bank. The recipient is the one who orders payment by check. In addition, it may be associated with various other parties.

4. Unconditional nature: Another important feature of a check is that it is unconditional in nature. In this case, the depositor gives unconditional instructions to the bank to pay only on demand. Therefore, the section of the law relating to checks says, “A check is a kind of exchange bill, an unconditional document which means payable on demand”.

5. Transferability: Checks are usually transferable just like a lot of cash. In case of Payable to bearer check, it can be transferred only by delivery and the recipient gets the right to it. Payable to order checks can be handed over by endorsement.

6. Mention of a certain amount of money: The check must contain a certain amount of money.  If the amount of such money is not specified.  For example, a check containing instructions to pay Rs. 1,000 or Rs. 2,000 cannot be treated as a check. The amount of such money must be written in the same amount in words and figures.

7. Mention of date: Mention of the date prepared in the check. This is also a feature of it. If it does not mention the due date, the bank will not pay the check. Just as a bank does not pay a check on a future date, a bank check is invalid even if the preparation date is six months earlier than the presentation date.

8. Mention the name of payee: The check contains a column of the name of the payee.  The order of the check mentions the name of the recipient here. However, without mentioning the name of any third party, the check order may refer to the word Self or Self. In this the order itself is considered as the recipient. However, the bank can pay the carrier even if it does not write anything in the recipient's name in the carrier's check.

9. Payment by legal tender money: Another important feature of this is that it must be paid in the prescribed currency of the country.  Prescribed currency refers to government notes (1 or 2 taka notes) and bank notes (5, 10, 500 taka notes). The recipient or holder cannot be forced to accept any money outside of this.

10. Payable on Demand: A check is a document payable on demand. If all goes well and is presented properly, the bank is obliged to pay the check on demand. However, the order may specify a later date and arrange for payment after a specified time from the date of manufacture.

11. Presentation: In order to collect the check, the recipient or holder of the check needs to present it to the bank regularly. Money can be collected by presenting the carrier's check and order check directly at the bank counter. The money can also be collected through the bank by depositing as the recipient. The money can be collected by depositing the stamped check as bank, i.e. by presenting it through the bank.

12. Facilities of crossing: A distinctive feature of a check is that it usually has two horizontal marks on the top left side, with or without writing anything inside it, its holder or recipient can turn it into a marked check. The check cannot be cashed directly from the bank counter. The money has to be collected through the bank by depositing it as the recipient.

13. Proof of burden: Checks are always accepted in court as proof of debt. In other words, if a check is presented in a proper manner, if it is dishonored, then the party responsible for it is liable to the other party concerned.