Top Reasons Why Cheques Get Bounced – A Complete Guide in 2025
Cheque bounce can disrupt financial transactions and even lead to legal consequences in India. This article explores over 20 common reasons for cheque returns — from insufficient funds and account closure to signature mismatches and technical errors — along with practical tips to ensure your cheques are processed smoothly.
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20+ Common Reasons for Cheque Bounce in India and How to Avoid Them
Cheque bounce is a common issue in India that can lead to financial loss, penalties, and even legal trouble. This guide explains over 20 common reasons why banks return cheques unpaid — from insufficient funds and signature mismatches to account closures and encoding errors — along with practical tips to prevent them.
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