Complete guide on how to find the Cheque Number

Although debit and credit cards and various other modes of electronic payment are overshadowing cheques as a dominant mode of payment, cheques haven’t entirely lost their usage. Even today, many people use chequebooks to make payments for various purposes. On the other hand, however, some people do have a chequebook but haven’t used it once. 

Whether you actively use your chequebook or not, you might have noticed a series of numerals written at the bottom of the cheque. You might have also heard the word ‘cheque number,’ but you might be clueless about it. But you are not the only one who is clueless about these things.

Thus, here’s an article that discusses the cheque and its various aspects in detail and how to locate the cheque number on a cheque. Hence, let’s get started!

What is a Cheque Number?

A cheque number is a unique 6-digit number seen at the bottom of every cheque leaf on the left-hand side. The cheque number is different on each cheque. No two cheques can be found bearing the same cheque number. A 9-digit code, known as the Magnetic link Character Recognition Code(MICR Code), follows the 6-digit cheque number. All the numbers on a cheque are with special magnetic ink. 

What are the features of a Cheque?

Some of the features of a cheque are as follows:

• Cheques can only be issued by individuals who hold a current or savings account.
• A cheque is regarded as an unconditional order and not a request.
• A cheque is payable only on demand.
• Whenever a cheque is encashed, the payment is made in cash.
• The maker/drawer of the cheque needs to put his/her signature on the exchequer mandatorily. 
• A cheque is valid only when it is dated and signed.
• A cheque is invariably drawn on a specific bank. 

Where can one find the Cheque Number?

One can find the cheque number at the bottom on the left-hand side. The 6-digit cheque number always precedes the 9-digit MICR code. 

What does a Cheque Number signify?

The unique cheque number on a particular cheque leaf is used to know the status of that cheque. For example, you have drawn several cheques to different payees. Now, you are curious to know about the status of those cheques. Here comes the role of the unique cheque number. The cheque number will let you know which cheque has already been encashed and which is still left. Thus, the cheque number signifies the status of the cheque. 

• At the bottom of every cheque leaf on the left-hand side is the 6-digit unique cheque number. 
• The Magnetic Ink Character Recognition Code, commonly known as the MICR code, is a 9-digit number. This MICR code indicated the bank and the bank branch from where a particular cheque had been initially issued to the account holder. The first three digits of the MICR code represent the city code, the next 3 digits reflect the bank code, and the last 3-digits represent the code of the bank branch. 
• The MICR code is followed by a 6-digit number, which is a fragment of the cheque issuer’s account number. 
• The last 2 digits that can be seen at the bottom of the cheque are referred to as the transaction ID. This ID signifies whether the cheque issued is payable at par or locally. Whereas a local cheque can be encashed only at the bank from where the cheque has been issued, while the payable at-par cheque can be issued at any branch of the issuing bank. However, most of the issued cheques are payable at par. 
• All of the numbers which have been discussed above are written with special magnetic ink. Thus, these numbers can be read only with the magnetic in the reader. 
• Usually, all banks in India have the same kind of cheque leaf format as discussed above. However, you might notice slight variations in the formats of the cheques issued by different banks.

What are the different types of cheques?

The various type of cheques are as follows: 

1. Bearer Cheque

• As the name suggests, the bearer cheque is one in which payment is made to the person carrying or bearing the cheque. 
• The words “or bearer” are printed just in front of the payee’s name on a bearer cheque. 
• Anyone carrying the bearer cheque to the bank is eligible to encash it. The banks won’t ask for the issuer’s authorisation while paying this cheque. 
• Bearer cheques are endorsable.

2. Order Cheque

• Order cheques are the exact opposite of bearer cheques. On this cheque, the words ‘or bearer’ are cancelled out. This means that no one except the person whose name is written on the cheque is eligible to encash it. 
• The bank might verify the payee’s identity before encashing the cheque. 
• Order cheques are non-endorsable. 

3. Crossed Cheque

• These cheques bear 2 parallel sloping lines along with the words ‘a/c payee’ written at the top left corner of the cheque. 
• These parallel lines ensure that irrespective of who presents the cheque to the bank, the payment will be made only to the payee whose name and account number have been mentioned. 
• A crossed cheque can be encashed only at drawee’s bank. Thus these types of cheques are relatively safer. 

4. Open Cheque

• An open cheque is an uncrossed cheque. This means that the top left corner of an open cheque does not bear 2 parallel lines. 
• An open cheque can be encashed either at the drawer’s or the payee’s bank. 
• The original payee of an open cheque can transfer it to another payee. 
• The cheque issuer must put their signature on both sides of the cheque.

5. Self Cheque

• Self-cheques can be identified by looking at the word ‘self’ written in the drawee column. 
• These cheques can be encashed only at the bank branch where the issuer has an account. 
• The drawer uses these cheques to withdraw money from their bank account. 

Conclusion

The cheque number is the most important part of a cheque. You must copy down the cheque number at a safe place. This is extremely important because if someone misplaces their cheque or a payee finds that money has not been credited to their bank account, the cheque number will help track its status. The cheque number might even help one to retrieve lost/stolen money. 

Many banks and NBFCs disburse loans via cheques. Piramal Finance, an NBFC, is one of them. Piramal Fiance is a renowned finance company that offers its clients quick, hassle-free, and easy loans. It offers various types of loans, including personal, home, business, etc.