Finance glossary
Cheque
Also known as: Check
In simple terms
A cheque is a written, signed instruction telling your bank to pay a set amount from your account to a named person or organisation. It is a traditional way to pay that is now used far less often.
On this page
What does cheque mean?
A cheque is a paper order to your bank to pay a specific sum to the person or business named on it. You fill in the payee, the amount in words and figures, the date and your signature.
Once a mainstay of everyday payments, cheques are now much less common as electronic methods like Faster Payments and cards have taken over.
How a cheque works
The payee pays the cheque into their account, and the banks clear it between them. Under the UK’s image-based clearing system, a cheque paid in on a working day is usually cleared — with the money available and safe to spend — by the end of the next working day.
A cheque can “bounce” if there is not enough money in the payer’s account, or if it is out of date. Most banks will not accept a cheque older than six months.
How could this affect me?
Cheques can still be useful for paying individuals, clubs or small organisations that are not set up to take electronic payments, and they leave a clear paper record.
For most day-to-day payments, a bank transfer or card is faster, safer and easier to trace. If you rely on cheques, keep in mind that some banks and businesses are phasing them out.
Things to watch out for
- A cheque can bounce if the payer does not have enough money in their account.
- Most banks will not accept a cheque more than six months old.
- Writing the amount unclearly, or leaving gaps, can let a cheque be altered — fill it in fully.
- Cheques are slower than electronic payments and some businesses no longer accept them.
General information, not personal advice
Consumer Credit is an independent information service. We do not provide regulated financial advice or sell financial products. For advice on your own situation, speak to an appropriately authorised firm or a free service such as MoneyHelper. About Consumer Credit.
Sources
We checked this page against these official and authoritative sources.
- MoneyHelper, How to pay by cheque and how cheque clearing works (opens in a new tab). Accessed 22 Aug 2026.
- Pay.UK, The cheque image clearing system (opens in a new tab). Accessed 22 Aug 2026.