If you wish to draw money from your own account, the most approved
form of cheque is written "Pay to the order of _Cash_." This differs
from a cheque drawn to "_Bearer_." The paying teller expects to see
yourself, or some one well known to him as your representative, when
you write "Cash." If you write "Pay to the order of (_your own
name_)" you will be required to indorse your cheque before you can get
it cashed.
If your note is due at your own bank and you wish to draw a cheque in
payment, write "Pay to the order of _Bills Payable_." If you wish to
write a cheque to draw money for wages, write "Pay to the order of
_Pay-roll_." If you wish to write a cheque to pay for a draft which
you are buying, write "Pay to the order of _N. Y. Draft and
Exchange_," or whatever the circumstances may call for.
[Illustration: A cheque made to obtain money for immediate use.]
If you wish to stop the payment of a cheque which you have issued you
should notify the bank at once, giving full particulars.
Banks have a custom, after paying and charging cheques, of cancelling
them by punching or making some cut through their face. These
cancelled cheques are returned to the makers at the end of each month.
If you have deposited a cheque and it is returned through your bank
marked "_No Funds_," it signifies that the cheque is worthless and
that the person upon whose account it was drawn has no funds to meet
it. Your bank will charge the amount to your account. The best thing
to do in such a case is to hold the cheque as evidence of the debt,
and write the person who sent it to you, giving particulars and asking
for an explanation.
If you wish to use your cheque to pay a note due at some other bank,
or in buying real estate, or stocks, or bonds, you may find it
necessary to get the cheque _certified_. This is done by an officer of
the bank, who writes or stamps across the face of the cheque the words
"_Certified"_ or "_Good When Properly Indorsed_," and signs his name.
(_See illustration._) The amount will immediately be deducted from
your account, and the bank, by guaranteeing your cheque, becomes
responsible for its payment. Banks will usually certify any cheque
drawn upon them if the depositor has the amount called for to his
credit, no matter who presents the cheque, and this certifying makes
it feasible for a man to carry in his pocket any amount of actual
cash. If you should get a cheque certified and then not use it,
deposit it in your bank, otherwise your account will be short the
amount for which the cheque is drawn. In Canada all cheques are
presented to the "ledger-keeper" for certification before being
presented to the paying teller.
[Illustration: A certified cheque.]