Cheque Mistakes: Common mistakes to avoid while writing a cheque for a safe and successful transaction

Common Cheque Mistakes: A person who has an account in the bank is definitely aware of cheque book and cheque. A large part of the transactions in our country are done through cheque.

Large payments and recorded transactions are done through cheque only. Extreme caution should be taken while filling the cheque. A small mistake can not only cause the cheque to bounce, but you can also lose money.

The name of the person to whom the money is to be given has to be written in the cheque. Apart from the person, the cheque can also be issued in the name of a company or an organisation. While writing a cheque, some common mistakes are often made, which can be easily avoided. Here we will tell you about such mistakes, by correcting which you can avoid big problems.

After writing the amount on the cheque, it is very important to write ‘only’ at the end. For example, if you have written the amount as ‘Five lakhs’, then it should be ‘Five lakhs only’. Similarly, at the end of the amount written in numbers, put a slant bar (/), like 500000/. By doing this, the possibility of fraud in the cheque can be prevented. If you do not do this, then someone can manipulate the amount.

Wrong signature is the biggest reason for a cheque bouncing. Sign the cheque in the same way that you had entered in the bank for your account. If the signature does not match with the signature entered in the bank, the cheque may get rejected.

Writing the wrong date on the cheque will result in the bank not accepting the cheque. Write the correct date on the cheque and ensure it is clear and correct.

Use permanent ink while filling the cheque. Writing with a pen with light ink can be erased and there is a possibility of alteration in it. To avoid this, use only a pen with permanent ink.

Avoid putting a future date on the cheque (post-dating). Make sure that the date mentioned on the cheque is the one when you want the money to be deducted. Give post-dated cheques only when absolutely necessary.

While issuing a cheque, ensure that you have sufficient balance in your account. If the cheque bounces, you may face penalty and legal action.

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