A cancelled cheque is a cheque crossed with two parallel lines and the word ‘CANCELLED’ written between them. It contains essential banking details like the account holder’s name, account number, IFSC, and MICR code. Understanding what is cancelled cheque, when it's required, and viewing a clear cancel cheque image can help in completing various financial and verification processes without errors.
A cancelled cheque refers to a cheque that contains two parallel lines drawn across the layout. It is also necessary to write the term ‘cancelled’ between these lines. You need not make a signature on the cancelled cheque. The cancelled cheque will be used to gather details such as account number, account holder’s name, MICR code, name and branch name of the bank, and IFSC.
In a different context, a cancelled cheque is a cheque for which payment has already been done. The moment cash is drawn with a cheque, the bank marks it as cancelled. Once it is cancelled, the cheque cannot be used as an authorisation for the removal of additional funds from the payer’s account.
A cancelled cheque works as a proof for opening an account with a bank. You can submit a cancelled cheque in many cases to confirm your bank account details.
Follow these steps to correctly write a cancelled cheque:
This format ensures the cheque is valid for verification but cannot be used for any financial transaction.
You may have to submit a cancelled cheque in the following cases:
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