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Crossing a check means the check should be deposited in the bank's account of the corporation or
payee written on the check
Agreed with all champs!
A control mechanism to avoid fraud and ensure the amount to be collected by the first payee of the cheque.
amount can be paid only to the account of the person in whose name cheque is written
through his own account
Information is very important for the security and the fight against money laundering
Security to the beneficiary
To be paid only to the first beneficiary whose name is written in cheque. It is prevent endorsement cheque to another person, so fraudulent practice could be avoided.
If the cheque is ' account payee' the amount can be paid only to the account of the person in whose name cheque is written.
The crossing of cheque will make it to a non negotiable instrument. It ensures that amount is paid to the account of the person and thus prevents fraudulent withdrawal.
I agree with Sahar Alech
The payment is made only to the account of the payee, which is highly secured.
Instrument can be cleared only to the person whose payee name is mentioned through his holding bank account.
It prevent collecting cash directly from the counter of the bank. and drawing of cash only through the account, mentioned in the face of the crossed cheque.
