Differences Between Cheques and Bills of Exchange:

  • A bill of exchange requires acceptance but a cheque does not.
  • The drawee of the cheque is always a bank that of a bill may be an individual or firm, or bank.
  • There are four parties to a bill namely the drawer, drawee, payee and acceptor and there are three to a cheque, drawer, drawee and the payee,
  • A bill may be payable after a specified period of time i.e. a time bill or on demand, that is on presentation, but a cheque is always payable on demand.