What is account payee cheque

An account payee cheque is a secure type of cheque that ensures funds are credited only to the bank account of the specific person or entity named as the payee. It is identified by two parallel diagonal lines drawn on the top left corner with the words A/C Payee or Account Payee Only written between them. Key features include:

• Non-transferability: It cannot be endorsed or transferred to anyone else.
• Enhanced Security: It cannot be encashed over the bank counter, preventing unauthorized access.
• Traceability: Since the amount is deposited into a bank account, it creates a clear audit trail.