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Crossing cheque and paying, collecting banker

Quiz by Dr. R. Alamelu

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10 questions
Show answers
  • Q1
    What is the purpose of crossing a cheque?
    To make the cheque void
    To speed up the payment process
    To increase the value of the cheque
    To provide additional security and prevent unauthorized persons from cashing it
    30s
  • Q2
    When a cheque is crossed, who is authorized to handle the cheque?
    Drawee banker
    Collecting banker
    Paying banker
    Endorsing banker
    30s
  • Q3
    What action does a paying banker take when presented with a crossed cheque?
    Rips up the cheque
    Forwards the cheque to the collecting banker
    Pays the cheque in cash
    Refuses to pay the cheque in cash and only credits the payee's account
    30s
  • Q4
    What is the primary difference between a general crossing and a special crossing on a cheque?
    General crossing requires two signatures, while special crossing only needs one
    Both types of crossings are identical in terms of information provided
    General crossing includes the payee's name, while special crossing specifies the name of the bank
    General crossing specifies the name of the bank, while special crossing includes the payee's name
    30s
  • Q5
    What is the main purpose of crossing a cheque with two parallel lines?
    To increase the cheque amount
    To expedite the cheque clearing process
    To indicate that the cheque can only be deposited into a bank account and not cashed over the counter
    To void the cheque
    30s
  • Q6
    What is the role of a paying banker when presented with a crossed cheque?
    To deposit the cheque into the payee's account immediately
    To verify the authenticity of the cheque and ensure it is processed securely
    To ignore the cheque and return it to the drawer
    To tear up the cheque and inform the police
    30s
  • Q7
    What is the term used when a cheque is crossed with two parallel lines without any additional instructions?
    General crossing
    Unique crossing
    Special crossing
    Specific crossing
    30s
  • Q8
    What is the purpose of adding a restrictive crossing on a cheque?
    To increase the cheque amount
    To allow the cheque to be cashed over the counter
    To specify the bank where the funds must be deposited
    To make the cheque valid for a longer period
    30s
  • Q9
    What is the difference between a bearer cheque and a crossed cheque?
    A bearer cheque does not require a signature, while a crossed cheque needs multiple signatures
    A bearer cheque is only valid for a specific time period, while a crossed cheque has no expiry date
    A bearer cheque is payable to a specific person, while a crossed cheque is payable to anyone who presents it
    A bearer cheque is payable to the bearer, while a crossed cheque can only be deposited into a bank account
    30s
  • Q10
    Who is responsible for verifying the authenticity of a crossed cheque before processing it?
    Paying banker
    Drawer banker
    Endorsing banker
    Collecting banker
    30s

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