Safe Banking
How to Write a Cheque
3 min read
•
Dec 20, 2019
Dos.
-
Date:
Without a date your cheque will just not be cleared. Date is to be written in DDMMYY format. A cheque is valid for 3 months from the date mentioned on it. - Never leave spaces between words or numbers: When you write numbers and words in the cheque, be it name or amount, never leave gaps between them, because that gives a chance to add some alphabet or number and change the whole cheque.
- Make sure you cross the cheque saying ‘A/C Payee’: If you are going to pay to some person and want to ensure that the payment goes to the same person’s bank account, you should put a double cross line on the left-top corner of cheque and write “A/C Payee” or “Account Payee“. This makes sure that the money gets credited only to a bank account and is not handed over to someone as cash over the counter.
- Add a line after the name and amount till the end: You should add a running line after the name and the amount section in the cheque. This ensures that no one can add anything after the name and amount to misuse it.
-
Cancel the word “Bearer”:
If you look at your cheque closely, in the “Pay” section, there is space for the name and then on the right corner it ends with “Or Bearer”. This means that either the person whose name is written in the cheque or anyone else who is bearing the cheque can encash it. So, you should always cancel the word “Bearer” from the cheque, unless you really want it keep it. -
Add a sign of “/-” after the amount”:
Anyone can add more numbers at the end of amount mentioned in cheque and increase it if there is enough space after the amount written. To avoid this, you should add sign of “/- “. -
Figures = Words:
The amount in figures must match the amount in words. Don’t leave any blank space either in column of figure or on words’ line. It is better to draw a line on the space left. While writing in words use the word “only” at the end. -
Signature:
Only, and only, after filling all the above mentioned details, should you actually sign the cheque.
Don'ts.
-
Don’t sign it blank:
The first and foremost thing which one should never do is signing a blank cheque. Signing a blank cheque could lead to zero solvency for the Bank account. -
Don’t keep it in improper way:
You should never fold, staple and pin the cheque. -
Don’t write on MICR:
Don’t write or mark anything on MIRC code and cheque number otherwise clearing of cheque may not happen. -
Don’t keep the Cheque unsafe:
Never leave a cheque unsafe, especially if it is a signed cheque. On missing a cheque, contact your bank immediately. Stop payment on missing cheque would work as a safe custody for a missing cheque. Make sure damaged cheque is disposed of properly. -
Alteration/ Amendments:
Don’t make alterations and amendments on the cheque. Any alteration will result in rejection of cheque. -
Use a pen:
To write a cheque, you should never use anything that can be erased. Always write clearly and avoid overwriting.
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