11 Advantages of using a cheque as a means of payment

  • It is less tiresome to write a cheque than counting large sums of money.
  • It ensures accuracy of payment since mistakes made in counting large sums of money are avoided.

  • It is a safe method of payment since it cannot readily be stolen and used by a thief more so when it is specially crossed.
  • It acts as a record of payment since the details of payment are recorded in the counterfoil for future reference.
  • It acts as a proof of payment because when payment has been effected by the bank, it is cancelled to evidence that payment has been done.
  • It is easier to carry a cheque than carrying large sums of bank notes and coins.
  • It can be used to pay many employees at once by using one cheque through credit transfer system.
  • A crossed cheque can be sent safely through the post office compared to cash hence debts can be cleared by posting a crossed cheque to a creditor.

  • It can conveniently be used to effect deferred payments by issuing a post dated cheque to a creditor.
  • It is easier to store a cheque than cash since cheques take a small space.
  • Payments can be stopped where fraud is discovered by the drawer instructing his bank not to pay.


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