Receipt (fr. chèque, English cheque / check) - a security containing an unconditional order from the drawer to the bank to make the payment of the amount indicated in it to the check holder. The drawer is the person who has the money in the bank, which he has the right to manage by writing checks, the holder of the check is the person in whose favor the check was issued, the payer is the bank in which the funds of the check holder are located.
The drawer is not entitled to revoke the check before the expiration of the established period for presenting it for payment.
There are cash checks and settlement checks.
Cash checks are used to pay cash to the check holder at the bank, for example, for wages, household needs, travel expenses, etc.
Settlement checks are used for cashless payments. This is a document of the established form, containing the unconditional written order of the drawer to his bank on the transfer of a certain amount of money from his account to the account of the recipient of funds.
Acceptance of check not provided, affixing appropriate expressions will not give rise to legal consequences.
English verb to checker, or checker, means to graph - a word from the same root is called cellular matter, the cheque, or check - bank check, exchequer - Treasury Department. The last term comes from the fact that in the bank, the calculations were carried out on the abacus, the basis of which was in a printed board. The English state treasury until recently called Chess Board Chamber - by checkered cloth that covered the conference table. Checkered tablecloth served as an abacus in the calculations. Arose in the XII century Checkerboard chamber She was the supreme financial authority and the highest financial court until 1873.
Check structure [edit |
What is a bank check?
A bank check is a security used in cashless payments. It contains the order of the drawer to issue the indicated amount of money to the holder of the check document.
Drawer - This is a bank client with an account. He manages his account and the money in it by issuing check documents.
Check holder - This is the person who received the check.
The check form is a document of strict form of short-term validity. It does not have the title of legal payment item, but has its own value. It contains the client’s request for the transfer of their funds to the person indicated on the check.
Only bank institutions are entitled to pay the amount on check forms. In order for them to be able to pay funds by check, the client must conclude a check agreement with them. This obliges the payer to fulfill obligations subject to the established rules.
Both individuals and companies have the right to use a check. A checkbook is issued to a banking client on the basis of a contract. She has 10, 25 or 50 forms of the established sample of the Central Bank of the Russian Federation.
All conditions for the use of checks are regulated by the Civil Code of the Russian Federation and other laws and banking rules. In Russia, only forms with the word “Russia” and two parallel lines will be accepted for payment.
Check form data
To process a check by a bank, it must contain the required details that are prescribed by the Civil Code of the Russian Federation, the Tax Code and other rules.
A correctly completed form should contain the following information:
- The text must contain the word "Check".
- The amount must be written in numbers and letters indicating the currency.
- Payer data with details of the account from which money is paid or payment is made.
- Date of receipt of the check.
- Personal signature of the drawer.
In the absence of any specified information, the form loses its validity and the bank refuses to cash out.
Types of checks.
By type of settlement checks are:
- Cash. They are used to pay cash to the bearer of the form.
- Estimated. They are used for cashless payments. They contain an order from the account holder to transfer the indicated amount to the account of the person indicated on the check. Settlement checks are divided into covered (when the bank makes the payment only if there is money on the client’s account) and uncovered (when the bank transfers money at the expense of its own funds, if the client has temporarily no money on the account).
Depending on the type of recipient, checks are divided into:
- Registered. They are issued to a specific person. Only he can receive money and make a payment.
- Order. They are issued in favor of a particular person, but can be given to another person. An inscription on the transfer is made on the back of the check document.
- Bearer. They are issued to bearer. It may not indicate the drawer, and there may also be no transfer record.
Cashing a check.
Cashing of check forms is called collection. To carry out this procedure, you must first find a bank branch that will accept a check for collection. This procedure is not in demand among Russian banks, so only a few institutions are involved in cashing checks.
To cash a ruble check, you need:
- Go to the office with a passport
- Write an application for the provision of collection services.
- Provide a correctly completed check.
- Take a copy of the completed application (the original remains with the bank).
- In the presence of a bank employee, make an endorsement and sign with your name.
- Pay a bank fee to the cashier for collection (average size 1-5% of the amount indicated on the check).
- After the bank checks the specified data, the money will be issued or the payment will be made. The time of crediting depends on which bank the account of the drawer and the account of the recipient are located in.
To cash a currency check, you need:
- Go to the bank and write a statement (take a copy for yourself).
- Open a foreign currency account (if the check is settlement).
- Pay a fee for collection at the box office.
- In the presence of a bank employee, put a signature and make an endorsement.
- When cashing an amount in excess of $ 5,000, you must provide a document confirming the legality of receiving money. If the check is written by the employer, then together with the check he can transmit such a document.
- After all the procedures, the bank checks the information and sends the check to the bank of the drawer, which confirms its legality. After confirmation, the currency is credited to the bank account of the payee. The time from presenting the check to receiving the currency in the account or in cash is at least two months.
Types of Bank Checks
One of the main features is the many types of bank checks. The main ones include :
- Bank cash check - used to make cash payments. The document has a strictly established form and contains an order issued by the company to the bank. The essence of such an indication is the payment to the bearer (the amount is indicated in the document).
- Estimated - A check used for payments by bank transfer. Unlike the past type, such a document implies an order to a financial institution to transfer money to the specified current account. Such a check happens:
- Covered (with guarantee of payment by the drawer).
- Uncovered (guaranteed by a banking institution).
- Cross check - a type of settlement document. Feature - the presence on the outer side of two lines parallel to each other. The essence of crossing is the possibility of using it only in a certain circle. Such a check is of two types:
- Common (there are no marks between the lines).
- Special (a word may be indicated, for example, a banker).
Depending on the recipient, a check may be :
- Registered - written out to a specific person. Moreover, money can only be received by the check holder.
- Order - can be transferred to other persons if there is such an indication (reflected in the security on the reverse side).
- Presidential - transferred to any person who can subsequently cash out funds in the bank.
- Bank check - a document that is issued and signed by the bank (used to make payments between credit organizations).
In widespread practice, almost all types of bank checks used in entrepreneurial activity are called “bank”.
Bank check: details
A bank cash check is part of a check book issued by a credit institution to a client. Such a document contains from 10 to 50 sheets. All forms are made according to the general model and form, which is established by the Central Bank of the Russian Federation. When making settlements through the Central Bank of the Russian Federation, only cross types of bank checks are used, on the front side of which there are two lines parallel to each other, as well as the inscription “Russia”.
A bank check is considered valid if it contains such details :
- The name is “Check”.
- Unconditional order to pay a certain amount.
- Payer data.
- The place where the payment will be made.
- Date and place of receipt.
If any of the details is missing from the security, the bank check may not be accepted by the bank.
- In the CIS - 20 days.
- In the Russian Federation - 10 days.
- In other countries - 70 days.
The starting point is the day the security was issued.
How to cash a check?
Many when they receive a document are lost and do not know how to turn a “piece of paper” into money. To cash a check, it is enough to contact a banking institution. Moreover, the algorithm of actions may vary depending on the currency of receipt - rubles or money of another country.
To cash a check in rubles, you should act like this :
- Come to the bank with a passport.
- Make an application for collection services.
- Transfer a correctly executed payment document.
- Get a copy of the application (the original credit organization retains it).
- Make a transfer signature (issued directly at the bank).
- Make a commission for the service (most often 2-5% of the amount on the check).
- Receive a payment (made after a full check).
The timing of admission depends on the location of the credit institution of the party that issued the payment document.
How to cash a check in currency? The algorithm is :
- Come to a financial institution and apply.
- Open a foreign currency account (a prerequisite for cashing out settlement checks).
- Make a commission for the service.
- Issue a transfer signature (in the presence of a bank employee).
- Transfer a paper that would confirm the legality of the receipt of funds (if the amount is above $ 5,000). If the employer transfers money, he usually writes out this paper.
- Receive funds to the account after confirming the legality of the operation by the bank.
Average time of crediting funds (from the moment of circulation - 50-60 days).
Bank check issuance
A bank check is issued by a credit institution, this is a valuable payment document confirming the payment by the account holder in favor of its bearer.
Therefore, the check should be filled out without errors or omissions in the necessary information, such as amount, recipient name, signature, place and date.
In detail, a bank check must contain the following details necessary for making the payment:
- date of issue indicating the day, month and year. The date of issue of the check is the fundamental requisite, since it is from the day specified in the security that the timing begins useful for cashing the check. The date must correspond to the actual day of issue: the insertion of the future date is not recognized by the Italian regulatory framework and invalidates the check,
place of issue: it is important to be able to distinguish between the so-called “local” and “non-local” checks (assegni su piazza / fuori piazza), the first ones are cashed in the same municipality in which they were issued, the second are those paid in the municipality different from the issuing municipality,
beneficiary (recipient): the name of the beneficiary must also be indicated so that it can be accurately identified.
Question of checks not secured by bank coverage
While a regular bank check is issued on the funds available in the current account, a check guaranteed by the bank is issued only after the funds have been credited to the account that are immediately debited to the client (withdrawn from the account).
In short, the risk of "not covering" a check is exclusively related to its type: theoretically, a bank can issue a regular check even if there is no money in the client’s current account (even if this happens very rarely).
On the other hand, the protection provided to the check holder (the person who will cash the check later), when issuing a guaranteed check is much higher. A bank issuing a bank check will do this only after it receives funds from its client.
In fact, only a guaranteed bank bill guarantees a safe and complete receipt of funds upon subsequent cashing out, given that it is issued only if the amount covering it is deposited first and then stored in the bank in anticipation of the check holder.
Time to cash a check
In Italy, a check can be cashed within 8 days from the date of issue if it is a “local” check (or if cashing takes place in the issuing municipality), or within 15 days from the date of issue if the check is cashed in another municipality.
And if the deadlines are exceeded? In this case, the person who issued the check can legally cancel it by notifying your bank about this, thereby returning the full availability of funds to the current account. If the bank does not follow the instructions of the client, and pays the check to the check holder later, he will be obliged to return the amounts withdrawn from the account to the drawer (his client).