Questions & Answers
Security cheque in property rental matters
Good Afternoon......
Can I write "Security Cheque" on the face of the Cheque? What legal protection does it give me from the landlord or from the bank?
Will the bank honour the security cheque across the counter or when it presented in clearing?
Normally, all security cheques in rental matters are current dated and will be encashed immediately. The landlord will provide you with a receipt for the same which needs to be submitted to the landlord (upon vacating the premises) to get a refund subject to deduction/s (for damage to the property or outstanding amount payable by the tenant).
"What legal protection does it give me from the landlord or from the bank?" - the receipt will give you protection provided the cheque is honoured.
"Will the bank honour the security cheque across the counter or when it's presented in clearing?" - depends if it is 'cash' cheque or 'account payee' cheque.
