A cheque is a negotiable payment instrument instructing a financial institution i.e. a bank to pay a specific amount (of a specified currency) from a specified account of the Bank client who issued the cheque. Cheques may be paid through Standard Payment or Cheque Collection (incasso) procedure. In the Standard Payment procedure, the Bank will pay out the cheque amount to the bearer upon receiving the instrument. In the Cheque Collection (incasso) procedure, the Bank will first reimburse itself from the issuing bank and then pay to the cheque bearer.
This product is intended for clients who wish to collect the presented checks. CKB is not issuing cheques.
- Elimination of risks related to the use of cash in payment operations
- Efficient way to collect receivables