Friday, July 16, 2010

RBI Guidelines for Corrections in Cheques from 1 July 2010

Hi readers,
I would like to share this important announcement with the august readers [:)] of this blog.

RBI has issued a guideline regarding the handling of cheques which comes into effect from 1 July 2010 - Herafter, i.e. from 1 July 2010, Corrections to the cheque amount in words, cheque amount in numerals, and name of the payee will not be allowed. This means that you cannot strike or rewrite or overwrite the following -
1. The name of the person to whom you are issuing the cheque
2. The amount of the cheque in numerals(numbers)
3.The amount of the cheque written in words.

So, you are allowed to make corrections to only the date, which should have your signature next to it.
Also Banks have been instructed to print/stamp the account number on the cheque as a compulsory measure.