Post dated checks is the pdc full form. Post dated checks are a type of cheque that has an additional date written on them, which is after the original date. This means it could be cashed at any time before this future time comes around even if you wrote your name down correctly when signing for it. The bank would have to honour the check as there is no reason not too.
People typically use post dated checks as a way of making sure they can pay for something by a certain date, without having the risk of forgetting or being unable to pay easily on that due date. A common example is when you have bills coming out each month and you want to make sure that you have enough money in the account on the right date. By writing down that you want them to come out of your account on a certain date, this gives you one less thing to think about. This way the bank has no reason not too honour it as its like any other normal cheque and there is nothing at all wrong with writing your name correctly on it either.
If you are not able to pay for something, for whatever reason, then it should be fine to ask whoever they are if they would be able to wait until another time before receiving payment. If they say yes then you should feel comfortable asking them what date would work well, so that you can write this down when giving them your post dated check. Many people are happy to help you out in situations like this as they know that things can happen unexpectedly and it is not usually anything personal.
However, even if they are willing to wait for their payment until a certain date, if you are struggling with money then you should be prepared to receive the bad news now rather than later. If you have already written down your name correctly on the check, then what would stop you from just cashing it before the due date? You could simply tell them that something came up and then pay them back later when everything has completely returned to normal. The problem is that many people will just think that you’re not bothered by taking advantage of them and only really care about yourself right now which can lead to the relationship falling apart completely.
When receiving a post dated check there should be no reason not to cash it straight away so long as everything is okay with your finances. You don’t need to find another way of paying, but if you do want an excuse then just say that something unexpected came up and you cannot afford to pay until after this time. If they’re nice enough to let you off for an extra few days then that’s great, but maybe try doing this once or twice before actually cashing it just in case something does go wrong at the last moment during those times. As long as you can repay them on the future date by writing it down on the check, then there is no reason not too cash it immediately!
There is no restriction on how much you can write down on a post dated check and there is nothing at all wrong with using them to make sure that your bills come out when you want them to. If you need any additional help then speak to an expert in the field and they should be able to give you some guidance if needed!
A part of business transaction, made through cheque. It means the person authorises the bank to clear or honour its demand draft/cheque against his account only after a specific date mentioned in such cheques. In other words, post-dated cheques are those for which funds may not be available from the drawer’s bank until a certain future date, although clearly specifying the date of issue.
Post Dated Checks are mainly used in financial transactions by the company or firm to be cleared according to a given time line. These are also known as Time Drafts which are basically an order written on the bank by the issuer about when he is willing to pay his dues so that all banks can honour this draft only after the specified future date. This is useful for both parties with respect to handing over time lines without any problem or delay in case there arises any complications before the due date itself. Post-dated cheques allow organizations and individuals to receive funds at a later date, but consider some risk associated with them like if one decides not to deposit them until they mature (after their earliest possible withdrawal date), then they run the risk of such cheques bouncing.
A Practice in Financial Terms: Post-dated cheques can be described as a scheme to facilitate financial transactions between two parties. These types of cheques are basically agreements made by business entities and other establishments to clear their dues only after a particular time period has passed, for which they receive certain benefits like (1) Transparency and (2) Security.
This is useful for individuals and businesses because it ensures that there’s no need to schedule appointments or meetings with one another on annual basis; rather they can simply agree on a fixed date when payments will take place. It would be easy if such matters were organised on regular schedules, but this isn’t always sustainable on long-term basis.
A post dated cheque is a cheque that has a date in the future which would be cashed by the receiver only after the date mentioned in it and this concept is actually used to ensure that there’s no cash flow problems at any point of time. For example, if someone owes you money and you give him a post dated cheque for it, then he can’t withdraw cash from your account before his offered period of time, so you might never have to worry about whether or not he’ll pay back his dues. If anyone tries withdrawing funds early through force or coercion, then he will find out that due to your particular agreement with them they cannot do so because the funds simply aren’t available. This is also something that individuals can use to monitor their own expenditures and ensure that they don’t spend more than their budget allows for.