Cancelled Cheque: What It Is, How It Works, and When You Might Need One
If you've ever been asked to submit a cancelled cheque , you might’ve wondered: What’s the point of handing over a cheque that can’t even be used? Surprisingly, this little piece of paper holds a lot of weight in the world of banking documentation. ✅ What Is a Cancelled Cheque? A cancelled cheque is simply a cheque leaf that has the word “CANCELLED” written across it . It’s not signed, not filled out — just cancelled. But even without being “active,” it still shows vital banking details like: Your name (if printed) Account number IFSC code Bank name and branch These are exactly the pieces of information that many organizations need to verify your account. 🛠️ Common Uses for Cancelled Cheques You may need to provide a cancelled cheque when: Opening a salary account Setting up auto-debit for EMIs or utility bills Applying for loans or credit cards Completing KYC formalities Registering for mutual funds or insurance It’s used strictly for verifi...