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Cancelled Cheque & Uses of it

1. A cancelled cheque is any cheque which has been crossed with two lines and the word "cancelled" is written across.

2.It's proof that the individual maintains an account with the bank.

3. Except for this, you do not need to sign or write anything on the cheque.

4. The reason why you are asked to cancel the cheque is to make sure that it is not misused in any manner.

Use of Cancelled Cheque
• While opening a savings account or current account in the bank.
• For KYC purpose.
• For withdrawal of EPF funds.
• While processing the loan request of borrower.
• While purchasing insurance policies.
• While opening a Demat Account.
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