Account Payee Only
Account Payee Only is the word printed between two vertical lines in the center of the cheque. Based on the Cheque Act 1992, it makes the cheque nontransferable.
The purpose is to avoid the cheques being endorsed and paid into an account not belonging to the payee.
Nowadays, most cheques are now overprinted as “ account payee only” or “A/C payee” with the word “ not negotiable” are sometimes added.
Leave a Reply.
Gain the knowledge of finance by visiting our site.