Cheque Bounce Notice (Sec 138)

Section 138 of the Negotiable Instruments Act, 1881 makes dishonour of a cheque for insufficient funds an offence, but only where a specific sequence is followed. The payee must issue a written demand notice to the drawer within 30 days of receiving the bank's return memo, calling for payment of the cheque amount.

The drawer then has 15 days from receipt of that notice to pay. If payment is not made, a complaint can be filed before the magistrate within the period the statute allows. Miss the notice window, address it to the wrong place, or describe the underlying transaction loosely, and the case can fail on a technicality rather than on merits.

Our in-house team drafts the notice with the cheque particulars, the return memo, the underlying debt or liability and the demand all stated precisely, sends it by registered post with acknowledgement due, and keeps the dispatch proof you will need later. If the matter goes further, we can advise on filing the complaint.

The process

100% digital and hassle-free