A check is a bank document, which works like a “money order.” More exactly, it is a document which allows us to authorize both institutions and individuals to make a withdrawal of a certain amount of money from your bank accounts.
The reason is simple, the check without losing its quality as a credit title is an appropriate document more for payment than for credit, so its life is very short and that does not allow it a great circulation. And thus doing order checks online use to be an easy solution.
- Check Concept
The word check that names the credit title whose examination is the object of this work, is, according to the most generalized opinion, of English origin.
The general law on titles and credit operations in force, does not define the check, but rather limits itself, as does the uniform law on the check approved in Geneva and the national laws that have accepted or imitated it, to establish their budgets, legal requirements and characteristics.
Value for being another characteristic is that they have value, that is, it has value by itself in the document as the security that it is. This means, for example, that when cashed in a bank, the holder, as long as the check has an endorsement, does not have to explain to the bank why he is cashing it. This characteristic makes a check like a banknote, which has a value by itself but the bearer to the cause validated in a single check is like a banknote. In addition, a special form is filled out through which the drawee orders the drawer to donate all or part of the funds made in the bank in a joint and orderly manner.
Some considerations to take into account: Details that are not too much to know.
Checks expire: These documents have an expiration date, they become bad and smelly, 90 days from the date the check is issued (which is indicated in the document). Once the 90 days have passed, the check loses all its value. (Note: The 90 days is the date set by Chilean banks, in other countries it may vary).
Never mark: None of the information on a check, be it amount, recipient, date, etc., should be marked. Any type of over marking will invalidate the check, so if any number or letter is not well noticeable, it is better to leave it that way. Many times in banks after receiving them they mark the pending letters or numbers.
Checks to date don’t exist: That’s right
A dated check is a verbal agreement between 2 parties, which has no validity against a banking institution. Regardless of whether a check is issueddated “December 25, 2120?, it can be cashed from the moment is issued, so be very careful. Institutions usually respect the dates, but do not trust, since with so much processing of documents, you can pass.
The code is important: That famous code that appears at the bottom of the check is essential, since in banks your checks pass through a reader, which collects the information from that code, so if it is incomplete or corrupt, the check will be invalid (bad, not that he can’t walk or anything like that). So be very careful when cutting the check from the script.