10 Smart Ways To Avoid Cheque Fraud

With internet banking and mobile banking occupying a prominent place in banking transactions, traditional ways still are considered safe for some individuals.

With advancement of technology, fraudsters have many ways to defraud easily. So one should be really careful, while handling any finance related things.

Cheque fraud can happen by forgery or counterfeiting and alteration. Here are 10 smart ways to avoid cheque fraud.

What are the Different Types of Cheques in the Indian Financial System?

1) Never leave your cheque book in the open. Place your cheques, bank statements and cancelled cheques in safe and secure area.

2) Once you receive your cheque book, make sure that all the leaves are intact, and that none are missing. In case of missing report to the bank immedietly.

3) Never sign a cheque before hand unless you are about to hand over to someone.

4) Destroy cancelled cheque immediately, by properly scribbling the cheque number and MICR code.

5) It is always suggested to look at your bank statement.

6) After writing the payee name draw a line till the end of the place. This is to ensure that you are not giving any space to make any alteration in the name. Write the name intact and do not leave space between letters.

7) It is always better to cross the cheque at the left corner, if there is no need of cash transaction. By drawing two lines and writing ‘Account Payee' means that the cheque can only be transferred to another account.

8) Suffix the amount for which the cheque is drawn with "/-" For instance, Rs. 25,000 should be quoted as Rs. 25,000/-

9) Keep a record of all details of the drawn cheque including cheque number, date of issue for further reference.

10) In case of account closure, destroy all unused cheques.

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