Why You May Need to Cancel a Demand Draft
There are several reasons why someone may need to cancel a demand draft. Sometimes, the payment may no longer be required, or the draft may have been issued in the wrong name or amount. In other cases, the draft may have been lost or misplaced before being presented. In all such scenarios, the demand draft can be cancelled, and the money refunded, provided the draft has not already been encashed.
Importance of the Demand Draft Number in Cancellation
The demand draft number is essential for the cancellation process. Since every draft has a unique number, banks use it to verify and locate the transaction. Without the DD number, the bank cannot process your cancellation request or initiate a refund. This is why it is important to note down and keep the DD number safe from the moment you purchase the draft.
Step-by-Step Process for Cancelling a Demand Draft
Visiting the Bank Branch
The most common way to cancel a DD is by visiting the branch where it was issued. You will need to submit the original demand draft along with a written request for cancellation.
Submitting the DD Number and Details
In your request, you must mention the DD number, issue date, and amount. The bank staff will verify the details and process the cancellation if the draft is still valid and unused.
Refund Procedure
Once the cancellation is approved, the refund is made back to the account from which the draft was purchased. If you bought the draft using cash, the refund may be provided in cash or credited to your account, depending on the bank’s policy.
Charges for Cancellation
Most banks deduct a small cancellation fee for processing refunds. The charges vary from bank to bank, so it is advisable to confirm the exact fee at the time of cancellation.
Time Taken for Refund
In most cases, refunds for cancelled demand drafts are processed within a few working days. However, the timeline may vary depending on the bank and the mode of payment used when purchasing the DD.
Final Thoughts : The demand draft number plays a crucial role in the cancellation and refund process. Keeping the number safe ensures you can easily request a refund if the draft is not required or is lost. By following the proper procedure and carrying the necessary documents, you can complete the cancellation smoothly and receive your refund without unnecessary delays.
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