Question 112. - Should a bank obtain the endorsement of maker if a cheque presented for payment is made out to the order of "cash."

Answer. - The usual practice is to treat cheques to order of "cash" as payable to bearer, but "cash" not being a fictitious or non-existing person, cheques drawn in this way do not strictly speaking come under the category of bearer cheques. The proper course would be to pay such cheques only under special arrangement with the customer, though if the practice of cashing such cheques is already well established, it would not seem advisable to break off without notice to the customer.