What  are  the reasons for cheque bounce ?

1. Insufficient funds in bank account
2. When there is a variation in signature in cheque and signature in bank records
3. Mismatch in Account number
4. When the matter written in the cheque is not legible
5. Discrepancy in dates mentioned in the cheque which is when the date has already lapsed.
6. Stop Payment is another reason why cheques bounce, this is when the   person issuing the cheque instructions the bank to stop payment of the cheque when it is presented in the bank

    What are the legal remedies in case of cheque bounce?

Once a cheque is presented in the bank and it returns with a memo that the cheque is dishonored, the payee of the cheque issues a              legal notice within 30 upon receiving the return memo  to the  issuer of the cheque to make the payment within 15 days . Thereafter              the      payee may exercise his right to file a complaint case  Under Section 138 of the Negotiable Instruments Act, 1881 with the                      return    memo     and copy of cheque that has bounced.

      which documents are required for filing a complaint in a  cheque   bounce case?

• The original cheque itself
• Memo of  the cheque returned containing reasons
• Legal notice issued to the issuer of cheque also called the drawer of cheque
• An affidavit which will state details of evidence

     What actions may be initiated against the drawer of cheque ?

• Criminal complaints under Section 138 of the Negotiable Instruments Act, 1881
• Civil Suit for damages and compensation

For more information on  serving a Legal Notice and filing a criminal complaint and also a civil suit you may click here or in the alternative you may call at 9870447987. Your Legal notice will be drafted by  experienced advocates with over 20 years of experience .We provide you with a follow up of each and every date .