The check is primarily a means of payment, because it is given instead of money when purchasing goods or services.
What is a check
Check – a document issued strictly by check law in the prescribed form, containing the issuer’s instructions directed to the bank, to pay a designated amount of money to the bearer of the check or the named person, from the funds at the issuer’s disposal. The cash withdrawal order must be unconditional.
What you should know about the check
The issuer of the check is called the trainee. It can be any natural or legal person or a defective legal person who has a bank account. The check’s route is, however, the bank that maintains the routeer’s account. The bank (drawee) does not respond by check, i.e. it is not obliged to cash a check if there is no funds on the issuer’s account to buy the check on the day of its check. The issuer of the check is the entity for which the check was issued. The check can be issued to a specific person (personal check) or to the bearer. Check rights can be transferred by endorsement.
What’s in the check
1) the name “check” in the text of the document itself, in the language in which it was issued;
2) unconditional order to pay the indicated sum of money;
3) name of the person who is to pay (drawee);
4) the place of payment;
5) the date and place of issue of the check;
6) signature of the check issuer.
How long is the check valid
The period of validity of the checkbook is not legally limited. As a rule, they use it until the empty forms of cash checks are exhausted. But some banks provide an expiration date at their discretion. Requirements for cash checks are set by the banks. Typically, the list of requirements includes:
- Filling starts from the edge of the line. The free space is crossed out by two solid lines.
- Filling is done only with a blue ink pen.
- Stains and patches are not allowed. If possible, bank employees put “Broken” or “Canceled” on the check.
- The amount to be received is given in words and numbers.
- The month is stated in words.
The recipient gives his name and signature. The unnamed check is invalid.
Only the person indicated in the contract with the credit institution, whose autograph is on the bank card of signature samples, is entitled to sign a check.
The check must contain the recipient’s company stamp. Other conditions may be provided for in the contract with the bank.
The check is completed manually with a single pen without changing the ink. In the event of errors, patches or corrections on the front page, the form will be considered invalid. It is glued to the book and blanked with the stamp “Broken”. The check holder’s name and details are stamped on delivery on each sheet, stamped or manually.
Checkbooks are usually kept by the same people in the same letter. In this case, the document form is completed using a pen with the same color of ink. Therefore, its owner should initially choose whether it will be only black, purple or blue ink color.
