IOB DD Charges and Cancellation Fees 2025

Updated on: Jan 2nd, 2025

3 min read

Indian Overseas Bank (IOB) is a well-known bank operating in India that offers a wide range of services, including demand drafts. It is easier to make payments via demand drafts for people already with an account in the Indian Overseas Bank.

However, people without an account with IOB can also get IOB demand drafts by making payments through cash. Certain charges are payable to the bank for issuing or cancelling demand drafts.

Continue reading this article to gain a detailed understanding of the charges for issuing a DD, the DD cancellation charge in IOB, and more.

IOB Demand Draft Details

Opting for a demand draft from the Indian Overseas Bank (IOB) is a safe and secure way of transferring money without carrying cash in lump sum amounts. IOB charges a certain fee, when a demand draft is requested depending upon the amount issued.

To apply for a DD at Indian Overseas Bank, applicants must fill out a form. Upon approval, the amount is immediately debited to the respective account.

Here are some key details about Indian Overseas Bank’s DD services:

Validity: The demand draft remains valid for about three months from the date of issuance.
Clearance: By opting for a DD, you can clear it at any respective branch of the same bank.
Demand Draft Issuance: Customers can issue a demand draft at any PNB bank branch or online through the bank’s official net banking portal.
Cancellation Process: Customers can cancel a DD by visiting the nearest IOB bank branch.

IOB DD Charges

Indian Overseas Bank (IOB) demand draft charges are the fees the bank levies for the issuance of a demand draft. Here is a detailed overview of the DD charges IOB imposes on customers:

Demand Draft Amount	Charges
Up to Rs. 5,000	Rs. 25
Above Rs. 5,000 to Rs. 10,000	Rs. 60
Above Rs. 10,000 to Rs. 1,00,000	Rs. 5 per 1,000, minimum Rs. 80
Above Rs. 1,00,000	Rs. 5 per 1,000, minimum Rs. 500, maximum Rs. 15,000

IOB DD Cancellation Charges

IOB DD cancellation charges are fees a bank imposes on customers requesting to cancel any previously issued demand draft. These fees include the administrative costs associated with cancellation processing and returning the funds to the customers.

Let’s explore the DD cancellation charge in IOB in further detail:

Demand Draft Amount	Charges
Up to Rs. 50	NIL
Above Rs. 50 to Rs. 100	Rs. 30
Above Rs. 100 to Rs. 1,000	Rs. 80
Above Rs. 1,000	Rs. 100

Be sure to familiarise yourself with the DD charges of IOB, as it is one of the most convenient options for transferring money. Knowing about the fees beforehand will also help you realise how to use the DD most efficiently, be it for personal transactions, business-related purposes, or other purposes.

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Frequently Asked Questions

What are the DD charges in IOB?

The DD charges in IOB vary on the amount issued. However, it usually ranges between Rs.25 to Rs.15,000, considering the amount.

What is the limit of DD in IOB?

There is no upper limit of an DD in IOB. However, if you pay with cash, banks can accept up to Rs. 50,000 to issue a demand draft. You need to pay above this limit from your bank account.

What are the DD charges for 1 Lakh in IOB Bank?

The DD charge for a 1 lakh DD in IOB Bank is Rs. 5 per Rs. 1,000 with a minimum of Rs. 80. Therefore, for a Rs. 1 lakh demand draft, the issuance charge is Rs. 500.

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About the Author

Mayashree Acharya

Senior Content Writer

I am an advocate by profession and have a keen interest in writing. I write articles in various categories, from legal, business, personal finance, and investments to government schemes. I put words in a simplified manner and write easy-to-understand articles. Read more

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