PROBLEMS, PROSPECTS AND GROWTH OF NIGERIA CHEQUEING SYSTEM

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PROBLEMS, PROSPECTS AND GROWTH OF NIGERIA CHEQUEING SYSTEM

ABSTRACT

This study is intended primarily to find out why the Nigeria society appears to have lost confidence on the use of cheques for transaction. Whether this loss of confidence is as a result of peoples misuse of this instrument or due to some lapses in the chequeing system itself.

Based on the primary motivation, various major problems associated with the use of cheques were identified. However, the use of dud cheques appears to be the base of other problems, which have precipitated into peopleâ€™s mistrust for cheque in Nigeria. The result according to the authorâ€™s findings, is the cash payment basis or bankers draft is usually preferred by individuals, establishments and government agents for settlement of transactions.

Furthermore, this study give a number of solutions and recommendation for more effective chequeing system in Nigeria based on the identified problem.

It is believed that the elimination of these problems will usher in a more functional chequeing system in Nigeria. Happily, the major finding of this study is that there was an increase in the use of cheques during the currency exchange of 1984, and that more employers new pay their workers with cheques through the bank.

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