What is order cheque

An order cheque is a secure financial instrument payable only to the specific person or entity named on it. It is identified by the phrase or order after the payee’s name or by crossing out the words or bearer. Key features include:

• The bank verifies the identity of the payee before processing the payment.
• The payee must present valid identification to cash or deposit the cheque.
• It can be transferred to another person through endorsement by signing the back of the cheque.
• It offers higher security than bearer cheques, as it cannot be encashed by unauthorized individuals if lost or stolen.