What does & Co mean on a cheque?

A cheque which is crossed with “a/c payee only” must be lodged directly into the bank account of the named payee. However, if a cheque is crossed with ‘not negotiable’ or ‘& co’ it may be endorsed by the payee, which means it can be signed over to the benefit of a third party on the reverse of the cheque.

What does account payee not negotiable mean?

Not Negotiable: This crossing is used to indicate that the cheque should not be transferred from one person to another. It is not commonly used nowadays having been replaced by the more secure ‘A/C Payee’ or ‘A/C Payee’ only crossing.

What is not negotiable and account payee crossing?

Addition of words ‘Not negotiable’ or ‘Account Payee only’ is necessary to restrain the negotiability of the cheque. The crossing of a cheque ensures security and protection to the holder. However, we can negotiate a crossed bearer cheque by delivery and a crossed order cheque by endorsement and delivery.

What does not negotiable mean on a cheque?

You may write the words ‘not negotiable’ between the two parallel lines on your cheque. This means that if the cheque is transferred to another person, the person who obtains the cheque has no greater rights to it than the person who gave it.

How does account payee cheque work?

An account payee cheque is a type of cheque which can be deposited in the account of the payee (the party to whom the final payment is supposed to be made and whose name is mentioned on the cheque). It cannot be endorsed to anyone else.

How do I cash a non-negotiable cheque?

(a) You can simply present the certificate to a teller at a local branch of your bank, and CASH it. Or, (b) you can have the dollar amount (stated on the certificate) deposited directly in your bank account.

Is account payee cheque and crossed cheque same?

To write an account payee cheque, you have to cross two lines on the left corner of the cheque and write “A/C payee only” between the two lines. Remember, if you simply cross the cheque and do not mention the words “account payee”, it will become a crossed cheque and not an account payee cheque.

What is a C payee only?

Meaning of a/c payee (only) in English The words show that the cheque must be paid only into the account of the person to whom it is written: Crossing a cheque with a/c payee means that the cheque cannot be used by someone else.

What does non-negotiable number mean?

Non-negotiable means not open for debate or modification. It can refer to the price of a good or security that is firmly established and cannot be adjusted, or a part of a contract or deal that is considered a requirement by one or both involved parties.

How do I cash a non-negotiable Cheque?

Which cheque is known as account payee cheque?

crossed cheque
A crossed cheque is also called an account payee cheque. It is a bearer’s cheque which has the words ”account payee” written on the top left-hand corner enclosed in two parallel lines. It is the safest cheque to issue because only the name written on the cheque will have the money transferred to their account.