Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Home » Cheque – 28 Most Expected… » | Negotiable Instruments & Basics
Module: | Negotiable Instruments & Basics

Q6: Which of the following statements regarding a "Not Negotiable" crossed cheque is correct?

A
It cannot be transferred to any other person
B
It can be transferred, but the transferee does not get a better title than the transferor
C
It must be credited only to the drawer's account
D
It is invalid for payment if presented by a third party
✅ Correct Answer: B
A "Not Negotiable" cheque is still transferrable; however, the key legal restriction is that the transferee does not get a better title than the person who transferred it.
← Previous (Q5) Which specific legislation empowers the Reser... Next (Q7) → What defines a "Post-Dated Cheque" (PDC)? 📚 Back to | Negotiable Instruments & Basics

🔄 More from | Negotiable Instruments & Basics: