Dishonour / Return of Cheques – Need to Mention the ‘Date of Return’
in the Cheque Return Memo
Reserve Bank of India, DPSS, vide Notification No RBI/2010-11/190 DPSS.CO.CHD.No. 485 / 03.06.01 / 2010-11, dt.01/09/2010, advised Banks to ensure that the ‘Cheque Return Memo’, should invariably contain the ‘Date of Return’.
Why was this Notification required?
Simple, Reserve Bank of India received a few complaints, stating that the ‘Cheque Return Memo’, did not contain the “Date of Return”.
Hence, to ensure that there is uniformity amongst the Bankers, RBI reiterated, that the ‘cheque return memo’, contains the ‘date of return’.
The following is the List of Model List of Objections, as per Rule 6 of the Uniform Regulations and Rules for Bankers’ Clearing Houses (URRBCH)
Model List of Objections
The enclosed cheque/refund order/pay order/. . . . . is/are returned for the following reason(s)
Code No. Reason for Return
01 Funds insufficient
02 Exceeds arrangements
03 Effects not cleared; present again
04 Refer to drawer
10 Drawer’s signature incomplete/illegible/differs/required
11 Drawer’s signature/authority to operate account not received
12 Alterations require drawer’s authentication
(20-29) Stop Payment
20 Payment stopped by drawer
21 Payment stopped by attachment order /Court order
22 Withdrawal stopped owing to death/lunacy/insolvency of account holder
30 Instrument post dated/out -dated/undated/without proper date
31 Instrument mutilated; requires bank’s guarantee
32 Cheque irregularly drawn
33 Encoding/listing error
34 Clearing house stamp/date required
35 Wrongly delivered/not drawn on us
36 Present in proper zone
37 Instrument contains extraneous matter
50 Account closed/transferred to . . .
51 No such account
52 Title of account required/ Title of account wrong / incomplete
53 Account blocked
60 Crossed to two banks
61 Crossing/clearing stamp not cancelled
62 Instrument specially crossed to .
63 Amount in protective crossing incorrect/illegible/required
64 Payee‘s endorsement required/irregular/ requires collecting bank’s confirmation
65 Endorsement by mark/thumb impression requires attestation by Drawer/Magistrate with seal
70 Advice not received , Amount/Name differs on advice
71 Drawee bank’s fund with sponsor bank insufficient
72 Payee’s separate discharge to bank required
73 Not payable till 1st proximo
74 Pay Order/cheque requires counter signature
80 Bank’s certificate ambiguous/incomplete/required
81 Draft lost by issuing office; confirmation required from issuing office
82 .Payee’s a/c Credited’ – Stamp required
83 Fake/forged/stolen draft/cheque/cash order/ Interest Warrant/Dividend Warrant
84 Other reasons
Cheque No.(s)….. Amount Rs. . . . . . . . .
Date of return ………. Signature & Stamp of returning bank