leadindialila

Although there are many different reasons why a cheque could bounce, the Act considers it to have done so when there is not enough money in the account of the drawer. With a return message citing insufficient funds as the cause, the bank must reject the cheque that was given for payment. In this situation, the drawer of the cheque may receive a notice that the cheque has bounced, requesting payment of the whole amount. Remedies against Cheque Bounce Resubmitting a cheque: When a cheque fails owing to overwriting, an incorrect signature, an inconsistency between the amount written in words and figures, or a damaged cheque, the payee may request that the drawer submit another cheque to make up for the error. If the drawer declines to submit a replacement cheque, the payee may launch a civil lawsuit to recover the full amount of the overdue payment, not just the cost of the rejected cheque. Legal notice for cheque bounce : When a cheque bounces because there isn't enough money in...