It is considered the most important document to submit when making an investment in the stock market, mutual funds, or other financial schemes. For KYC completion: A cancelled cheque is a cheque that has been paid by a bank and bears the notation “cancelled” across its face.Read More: How to Write a Cheque – a Step by Step Guide to Follow When is a Cancelled Cheque Required?Ī cancelled cheque is required for a variety of reasons, as listed below: Make sure the parallel lines do not cover any crucial information such as the account number, IFSC code, MICR code, account holder’s name, bank’s name, or address.Write “CANCELLED” in capital letters between the 2 parallel lines.

Draw two parallel lines across the cheque.

Take a fresh cheque (Do not write additional information on the cheque, such as the Payee’s name, amount, signature, and so on.).

When submitting a cancelled cheque to a bank or non-banking financial company (NBFC), it is important to follow the instructions provided. As a result, it is important to handle cancelled cheques with care and ensure that they are stored and disposed of securely. However, cancelled cheques still contain sensitive information, such as bank account numbers, account holder’s name, cheque number, MICR code, and IFSC code, that could potentially be stolen or misused through cybercrime. This makes it impossible for anyone to use the cheque for unauthorized financial transactions. What is a Cancelled Cheque?Ī cancelled cheque is a type of crossed cheque that has two parallel lines drawn across it and the word “CANCELLED” written between the lines.

It is important to understand what a cancelled cheque is, how to properly fill one out, and when it may be requested in order to properly use them for financial matters. These cheques must be submitted as evidence of a valid bank account. Banks or financial institutions may require cancelled cheques in order to confirm the accuracy of a user’s banking information.

Write a check