Today we will know how to write a cash cheque. cheque writing is easy if you learn properly. A cash cheque is called a bearer cheque because the one who has the cheque can withdraw the money. Usually, it is better not to write cash cheque because in case of small amount, there is no record in the bank statement, the name of the person who was given or to whom the cheque money was given is not written. Another risk is if stollen the cash cheque anybody can withdraw the money.
If you write a cheque with the name of a person, then in the bank statement you will see the name of the person whose gave the cheque. Even then, in many cases we need to write cash cheques. In this article I will discuss in detail how to fill a cheque for cash withdrawal.
What is cash cheque?
A cash cheque is a negotiable instrument that allows for the immediate transfer of funds from a payer to a payee. This financial instrument can be drawn on an account held at a financial institution, such as a bank or credit union, and serves as payment for goods and services.
Step by Step Process of Cash Cheque writing
1. Write The Date of Cheque
The first thing you need to do is to enter the date in the date box on top right corner of cheque which date you are going to pay. Now let us know another thing, if for some reason you cannot withdraw money with this cheque on the cheque date, then you can later withdraw money with this cheque. Generally, most of countries cheque validity period six (6) months from the date of issue but some countries may be differed.
Read More: How To Write Account Payee Cheque
2. Write to whom the cheque will given
Let us know what you will write after the Pay to OR Pay to the order of, since this is the cash cheque you have to write after the Pay to / Pay to the order of “Cash”. When we withdraw money from our own bank account we will give “Self” and when we give a cheque in the name of a person we will write the name of that person, if we give a cheque to a company, we will write the name of that company after Pay to / Pay to the order of. So, in case of cash cheque, you have to write “Cash” after Pay to / Pay to the order of.
3. Write the payment amount in numbers
Write the amount of money numerically in the money amount box how much money you going to pay with this cheque. I showed this cheque by writing a cheque of twenty thousand rupees (20,000) only. After write a number, make a long pull to the right of the number, then give two equal signs. In the same way, you should put two equal marks on the left side of the number, so that no one gets a chance to write anything on either side.
4. Write the same payment amount in words
Write the same amount in words which amount written in number. I have written in number 20,000 and have written in words twenty thousand only same way. If you make a cheque spelling mistake while writing in cheque, you will cut it with one pulls, after cutting it with one pulls then rewrite it below or any sides, then give it a signature below or any side. If you cash the cheque by machine, then the overwriting cheque and rewriting cheque may be problem.
5. Sign your cheque
Now you can see below it is written “Please Sign Above This Line” you give the sign above this line. Remember that you will sign here the sign that you gave to the bank when you opened the bank account.
6. Write the memo of your payment (optional)
After completed number 5 now on the left side of the cheque you will see there is an option here as you can see in the image above. This is the cheque memo option. This part is for you to remember. You will not have to pay this part to the bank. Here you will write the date on which you gave the cheque, to whom gave the cheque, why you gave the cheque, then you will write how much money you have withdrawn, paid, through this cheque etc. Note that some countries memo option is very important.
Now, completed your cash cheque. Anyone can withdraw money from the bank with cash cheque. Hope you understand how to write a cash cheque.
Writing a cash cheque is a simple process that can be easily completed with the necessary instructions. As long as you have a chequebook, the payee’s name, amount of money being withdrawn and your signature, you are ready to go! Remember that it is important to double-check all of your information before submitting the cheque and keeping the bottom portion for your records. Writing a cash cheque is a straightforward process that allows individuals to safely withdraw money from their accounts.
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