what is the difference between draft and cheque
- 3 Answers
- 4818 Views
- NIIT, I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / tejeswini
Draft can be issued only by the bank and not account
holder.whereas cheque can be issued by the account holder
and not the draft.
| Is This Answer Correct ? | 15 Yes | 2 No |
Answer / navas ca
draft can be issued only by the bank,whereas cheque can be
issued by the account holder.
| Is This Answer Correct ? | 12 Yes | 1 No |
Answer / suresh
A draft or a payorder is issued by a scheduled bank as per
RBI guidlines on behalf of an account holder of that bank
branch, this is valid for 6 months from the date of issue
and is a negotiable instrument, this can be cancelled only
by ths issuing branch and guarantees payment to the Payee,
the Draft/Payorder is 100% honoured, as the bank has
already collected the money from the account holder and has
guaranteed payment to the payee.
A Cheque is issued by an account holder of a bank, this is
alos valid for 6 months from date of issue but cannot
guarantee payment, the cheq can bounce due to many reasons
(no funds in a/c, signature missmatch, etc)
| Is This Answer Correct ? | 5 Yes | 0 No |
Expand-----DRM
Why we are prepaparing Debtors and Creditors list for more than lessthan 6 months at the year ending?
Clasify Loss
what are the basic accounting entreis ?
Which one of these two (SAAP & GAAP ) software you prefer to use and why?
expand K V P
what is hedging?
how to create the trading a/c, profit & loss a/c & Balance sheet & What do u mean by bank reconcilation
Expand F A Qs
if salary p.m rs 70000 what will the rate of tds for assessment year 2011-2012
What is DPS? How to calculate to DPS?
What are the Journal Entries posted in the books of a Mutual Fund of a Legal Entity in USA in regular accounting?
Audit 
