Overview

A cheque is an instrument issued by the drawer, directing the bank to provide cheque deposit services, to unconditionally pay a specific amount to the beneficiary or bearer upon presentation.

Benefits

By functions, cheques are divided into cash cheques and transfer cheques. Cash cheques are used to withdraw cash from the bank deposit account, while transfer cheques are used for fund transfer and are transferable by endorsement during its validity. Cheques provide safe, convenient and flexible settlement, and meet customers' demands for a broad range of settlements.

Procedures

1. Buy cheque: The customer fills out the instrument and Settlement Voucher Request Form, affixes the seal for the account, and purchases cheques from the account opening bank.

2. Issue cheque: The customer issues cash or transfer cheques pursuant to relevant rules and in line with his/her payment needs, affixes seal at the designated area, and sets and writes the payment password at the designated area if password entry is required.

3. Honor cheque: After the customer delivers the cheque to the beneficiary, the beneficiary presents the cheque to the bank for payment, and the bank will review and pay the cheque in accordance with applicable rules.