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A cheque with amount 1 lac or more

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A cheque with amount 1 lac or more

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The main things that must be recorded in your cheque register are:

1. Date of cheque issue

2. Payee to whom the cheque is issued

3. Cheque Amount

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There are two ways.

# If it is a normal cheque that has not been crossed (not an A/C payee cheque) you can take the cheque to the cheque issuing branch, provide an identity proof and ask for cash # If it is a crossed cheque (A/C payee cheque) you can take it your bank branch and deposit it into your account.

Irrespective of whether the cheque is crossed or not, you can use option no. 2. But only if the cheque is plain you can use option no. 1

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There is 1 syllable.

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You have six months from the date of cheque to convert a cheque into cash. The date of the cheque is the date shown on the face of the cheque. After six months of time, the cheque becomes a "Stale cheque".

If you present the cheque to a paying bank within six month period you can collect the cash in following ways.

1. If the cheque's account is a account of paying bank: You can en cash the cheque on same day.

2. If the cheque's account is not a account of paying bank: Depending on the clearing speed of the banking system you may get money on same day/ tomorrow/ or day after tomorrow.

Please refer related questions to understand the cheque handling process in Banks.

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