answersLogoWhite

0

A "second party check" is a check where the payee is depositing or cashing the check. For example, Bob Smith writes a check to his brother John Smith. John Smith is the payee, (second party) who deposits the check into an account in his own name, or cashes the check.

If John Smith wants to endorse the check on the back to a different person, that other person would be a third party. The check would now be a "third party check." Banks are likely to not accept this type of check if the third party tried to cash it, because they cannot verify endorsements.

User Avatar

Wiki User

14y ago

What else can I help you with?

Related Questions

How do you endorse a second party check?

A second party check must be endorsed first by the individual that the check is issued to. Signature of the second party is necessary underneath the signature of the first party. Occasionally additional identification documents might be necessary.


You accepted a Third Party Check that then bounced Who is responsible the first or second party?

The third-party would contact the second-party as it was that party that received the goods or services from the third-party. The second-party would have recourse against the original issuer (first-party).


What is a single party check?

In regards to check cashing, a single or one party check is a check in which the check writer and beneficiary are the same person. In other words, if I write a check from my bank account to myself, I am writing a single party check. Contrast this with a two party check in which one person or company writes a check to a second person or company, or a three party check in which one person or company writes a check to a second person or company and a third party guarantees some part of the check (usually the funds).


What is a 4th party check?

A fourth-party check is a financial instrument that involves four parties: the original check writer (the first party), the payee (the second party), the bank that processes the check (the third party), and an additional party that endorses the check to another individual or entity (the fourth party). This type of check typically requires the endorsement of the original payee before it can be cashed or deposited by the fourth party. Fourth-party checks can be risky and are often not accepted by banks due to concerns over fraud and insufficient verification of the parties involved.


Can a bank accept a two party check without the second party being present to endorce?

No, it can't be accepted without both parties endorsements.


What are first party second party and third party video games?

there is no such thing as a second party


What is a two party check?

A two party check is a check which is made out to more than one party. To cash or deposit a two party check, the check must be endorsed by both partied that the check is written out to.


If the party of the first part partakes with the party of the second part whos party is it?

The first part is going to the second part's party, so it's obviously The second part's party.


Two party check?

A two-party check is a check made out to two different individuals or entities.


What is the second biggest party of the year?

what is second largest us party day of the year


What is a flash party?

it is a party you plan at the lat second


Is a check from your job a Third Party Check?

A third party check is a check which is signed over to an individual not named on the front of the check as either the maker (entity writing the check) or the payee (to whom the check is payable). The payee signs the check over to another individual, who is the "third party."