Types Of Crossed Cheque (Methods of General, Special or Restricted)

There are three types of corssed chequed in banking for payment transfer and other verification and documentation. General crossed cheque, Special crossed cheque and last is Restricted crossed cheque.

What Is Cheque?

Cheque is a form of banking. By using your bank cheque, you can withdraw or deposit your Cash in your account or any other person or organization.

By using this facility there are several types of benefits of cheque banking as below:

Benefits Of Cheque

  • Direct Cash transfer to third person or organization
  • Maximum amount withdrawal facility according to your bank
  • Pay in advance by signing cheque
  • Valid for 3 months after the date you sign, it means, the person or organization have sufficient time to withdraw the CASH in their account
  • It’s a type cash form, by using it, you can withdraw the payment from your account
  • Verification process of other financial benefits. Example: Demat accounts, loaning process, employment or salary account linking, PF or other financial activities & etc
  • You can restrict the person to use the cheque

An open cheque (type of without crossed)

It’s a bearer cheque to in-cash the amount. You can get the payment to the payee to the paying bank on the counter side. If you are marking any cross then it’s good to go with cash counter withdrawal process.

Crossed Cheque Meaning

You can’t withdraw the cash any crossed cheque on the counter. It will be processed by banker after the submission of the crossed cheque. It will be processed by direct bank transfer by banker side.

It means they will verify all the details and then transfer your cash to your account.

General Crossing Cheque

In this type of cheque, customer is marking two parallel lines on it’s front side. By marking two parallel lines, user is instructing the bank to only transfer the CASH in the bank of the bearer, not directly on cash counter.

By using this method, cash transfer is more secure and verified. Because, now the banker is checking the other person accounts and details at their end with other respective bank and then transfer the cash.

Special Cheque Crossing

In this types of crossed cheque method, issuer is marking the bank name in between two parallel lines. Then bank is restricted to pay the amount in only respective or special bank or it’s sub/agent/child bank only.

In this types of crossed cheque, two lines are not important but bank name is required.

Restrictive Cheque Crossing

In this banking method, issuer making restriction of the negotiability of the cheque.

Payee or organization or agent will get the payment only. Specific account is marking the to withdraw the amount in the respective payee only.

This is most secure and verified process of the banking of cheque.

These are following methods of crossing payment. Hope this helps!!

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