Understanding Cheques and Their Features

The video tutorial provides an overview of cheques, discussing their purpose and key features. It explains the role of cheques in financial transactions and highlights important aspects to consider when using them.

What is the primary purpose of a cheque?

• To transfer money electronically

• To make a payment without using cash

• To withdraw cash from an ATM

• To store money securely

Which of the following is a key feature of a cheque?

• It can be used to make online purchases

• It must be signed by the issuer

• It is valid for an indefinite period

• It can be used internationally without restrictions

What information is typically found on a cheque?

• The bank's routing number

• The issuer's credit card number

• The recipient's email address

• The issuer's social security number

How does a cheque differ from a bank draft?

• A cheque is always guaranteed by the bank

• A cheque is used only for international transactions

• A cheque can be issued by anyone with a bank account

• A cheque does not require a signature

What should you do if a cheque is lost?

• Report it to the bank immediately

• Write a new cheque to replace the lost one

• Wait for a few days to see if it turns up

• Ignore it as it cannot be misused