What is a security cheque?

An undated, signed cheque provided as surety for payment or the fulfillment of contractual duties is known as a security cheque in Dubai. It is frequently used for loans, leases, and other financial obligations.

About Security Cheque

An undated, signed cheque provided as a guarantee by a borrower to a lender or by a renter to a landlord is known as a security cheque in Dubai. In the event that the issuer defaults on a loan or fails to make rent payments on schedule, it serves as security. The recipient may deposit the cheque and take legal action if the issuer defaults. Security cheques are still widely utilized, although more advanced and safe payment options are gradually replacing them.