Legal Article

What to Do If a Cheque Has Been Issued By Mistake: A Comprehensive Guide

Shivendra Pratap Singh


High Court Lucknow


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Published on: 21 Aug, 2023


Issuing a cheque by mistake can happen to anyone—both in personal and professional settings. The mistake could be a wrong payee name, incorrect amount, or even issuing a cheque that wasn’t supposed to be issued at all. The immediate aftermath can be stressful, but there are steps to remedy the situation.

Preliminary Actions

1. Identify the Mistake

The first step is to identify what the mistake is, as the steps you’ll need to take may differ depending on the nature of the error.

2. Check the Cheque Status

Immediately check your bank account to see if the cheque has already been cashed or deposited. If it has cleared, you may not be able to stop it, but you can take other corrective measures.

Step-by-Step Remedial Actions

Step 1: Contact the Payee

If the payee is someone you can reach quickly, get in touch and explain the mistake. They may be able to return the cheque or tear it up.

Step 2: Stop the Payment

Contact your bank as soon as possible to request a stop payment on the cheque. You will need the cheque number, amount, and payee name. There is usually a fee for this service.

Step 3: Confirm Stop Payment

Confirm the stop payment request and record any confirmation numbers or other details provided by the bank. The bank may require a written statement or additional form to be filled out, so be sure to complete any additional requirements.

Step 4: Issue a New Cheque

If appropriate, issue a new cheque correcting the mistake. Double-check all the details to ensure no further mistakes are made.

Step 5: Inform the Payee (if not already done)

If you haven’t already, inform the payee about the mistake and the corrective actions you’ve taken. If a new cheque has been issued, let them know when to expect it.

Step 6: Record-keeping

Keep all records of communications, bank confirmations, and other relevant documents. These can be useful if there are any disputes or questions later.

Step 7: Reconcile Your Accounts

Once the situation has been resolved, update your financial records to reflect the stop payment and issuance of a new cheque, if applicable.

  1. Due Diligence: Performing due diligence by acting swiftly to correct a mistake could protect you from potential legal ramifications.
  2. Possible Charges: Depending on jurisdiction and circumstances, issuing a cheque without sufficient funds or on a closed account can be considered a criminal offense.
  3. Civil Liabilities: The payee may have legal grounds for a civil suit if they suffer financial loss due to a stopped or bounced cheque, so it’s essential to communicate clearly and document all actions taken.


Issuing a cheque by mistake is certainly inconvenient but taking quick and responsible actions can help resolve the situation effectively. However, repeated mistakes could not only lead to financial losses but also harm your credibility. Hence, always double-check the details when issuing cheques.

Disclaimer: This article is for informational purposes only and should not be considered as legal or financial advice. For specific advice, consult professionals.

By following these steps, you can correct the mistake and mitigate any potential damage or inconvenience caused by the erroneously issued cheque.


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