We all use checks, but most people do not know the rules for signing the right place and on time.
Czech type
Sign in beer check
Sign in order check
Wrong sign risk
Right method
People’s mistake
What to do if the check is lost?
Keep these things in mind
We all use checks, but most people do not know the rules for signing the right place and on time. RBI’s guidelines suggest that by signing the wrong place on the check, your money can fly from the account. Let’s know what is the necessary rules for signing check.
Czech type
There are two types of checks – bear check and order check.
Bayer Check: Whoever is introduced in the bank can withdraw money.
Order check: Only the person has payment, whose name is written.
Sign in beer check
Understand the beer check as a cash. There is no need to sign it back to get any person encountered.
Sign in order check
If the order check is to be given to someone else, then you have to sign back. This is called endorsement. But keep in mind, signed back only when transferred.
Wrong sign risk
If you accidentally sign the bear check, then the wrong person can take advantage of it and withdraw money.
Right method
Always do your signature on the front.
Sign only when the check has to be transferred to someone else’s name.
Do not sign back while withdrawing money yourself.
People’s mistake
About 90% of people do not know this rule and sign the back of the check. This causes problems or fraud in the bank many times.
What to do if the check is lost?
If the check is lost, inform the bank immediately. This will keep your money safe and prevent fraud.