Blank Endorsement


DEFINITION of 'Blank Endorsement'

A signature by the creator of an instrument, such as a check, which enables any holder of the instrument to assert a claim for payment. Because no payee is specified, such an endorsement essentially turns the instrument into a bearer security.

BREAKING DOWN 'Blank Endorsement'

The most well-known example of a blank endorsement is a check made payable to "cash" and endorsed on the back with the signature of the account holder. Blank endorsements are much more risky than pay-to endorsements. If the instrument is lost, it can be negotiated (cashed in or deposited) by anyone who finds it.

  1. Check

    A written, dated and signed instrument that contains an unconditional ...
  2. Promissory Note

    A financial instrument that contains a written promise by one ...
  3. Joint Endorsement

    The type of endorsement that is required on any type of joint ...
  4. Payee

    The party in an exchange who receives payment. A payee is paid ...
  5. Bearer Form

    A security not registered in the issuing corporation's books ...
  6. Blank-Check Company

    A company in a developmental stage that either doesn't have an ...
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  1. What is a blank-check company?

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