I wrote a check to another party that was returned to him from his own bank with "CR TO ACCT OF PAYEE LACK OF ENDORSEMENT GUARANTEED." What does this mean?
It means that the bank received the check without the payee's endorsement and it was guaranteeing that the check was credited to his account. It's a throwback to older banking practices and has no practical use any more, because such warranties are automatic whenever a check is deposited to a payee's account without endorsement.
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It means that the bank received the check without the payee's endorsement and it was guaranteeing that the check was credited to his account. It's a throwback to older banking practices and has no practical use any more, because such warranties are automatic whenever a check is deposited to a payee's account without endorsement.
