GENERAL KNOWLEDGE

Detailed explanation-1: -How to cancel a cheque? A cheque can be cancelled in a simple method by crossing it with two lines and by writing the word “CANCELLED” between those two lines in capital letters.

Detailed explanation-2: -You need not make a signature on the cancelled cheque. The cancelled cheque will be used to gather details such as account number, account holder’s name, MICR code, name and branch name of the bank, and IFSC. In a different context, a cancelled cheque is a cheque for which payment has already been done.

Detailed explanation-3: -General Crossing – cheque bears across its face an addition of two parallel transverse lines. Special Crossing – cheque bears across its face an addition of the banker’s name. Restrictive Crossing – It directs the collecting banker that he needs to credit the amount of cheque only to the account of the payee.