To write a cancelled cheque, follow these steps:
- Take a fresh cheque leaf from your chequebook.
- Draw two parallel diagonal lines across the cheque from the top left to the bottom right.
- Write the word CANCELLED in capital letters between these two lines.
- Ensure you do not sign the cheque or write any other details like the date, name, or amount.
A cancelled cheque is used as a proof of account holding and to verify banking details like the account number and IFSC code without allowing any withdrawal.