A bearer cheque, also known as a “bearer check” or “order cheque,” is a type of check that is payable to whoever physically holds the check. In other words, the person who presents the check to the bank for payment will be considered the rightful owner of the funds.
Bearer cheques are different from “payable to order” cheques, which are payable to the person or entity named on the check and can only be cashed or deposited by the person or entity named on the check.
Bearer cheques are considered to be less secure than payable to order cheques, as they can be easily lost or stolen and cashed by anyone who finds them. They are also not as commonly used as payable to order cheques as they expose the issuer to a higher risk of fraud, for this reason, many banks and financial institutions no longer issue bearer cheques.
It’s important to note that, In some countries, bearer cheques are not legal or are not allowed to be used, so you should check with your local financial institution or government agency to see if they are still in use and if they are legal.