What's an Endorsed Cheque?

From Longman Business Dictionary enˌdorsed ˈcheque British English, endorsed check American English a cheque on which the person the cheque is made out to has written someone else's name so that the other person can receive the moneyBanks could not confirm the signature on endorsed cheques, so stolen cheques could be ...

What does endorsed Cheque mean?

Signing the back of it is called “endorsing the check.” What you write when you sign it—how you endorse the check—depends upon what you want to do with the check and how the check is written. Endorsing a check allows your bank and you or a third-party to settle the funds associated with the check.

Do banks accept endorsed checks?

A bank sets its own policy whether to accept or reject third-party checks and is not legally required to accept them. For instance, if the bank accepts the check, the bank can require the payee to be present to verify the signature.