Know this rule of check bounce, otherwise you can go to jail- Watch Video

Online transactions are increasing rapidly in today's time, but there are still many people who prefer to pay through cheques. Anyway, only checks are used for big transactions. In such a situation, you should make the payment through check very carefully because a lot of care has to be taken while filling the cheque. The check may bounce on a slight mistake and you may also have to pay a fine if the check bounces. In some situations, jail time may also have to be eaten. If you also use checkbook and your check never gets bounced, then it is important for you to know about its rule.

How much is the penalty for check bounce?

Banks charge penalty from their customers for check bounce. This fine can be different according to the reasons. These charges are different for different banks. This fine can range from Rs 150 to Rs 750 or Rs 800. He can be imprisoned for up to 2 years or fined twice the amount of the check or both.

Check Bounce is a Crime in India 

Bouncing a check is considered a crime in India. According to the rules, if the debtor is not able to pay the check within a month after the check bounced, then a legal notice can be issued to his name. Then the reply to this notice is not received within 15 days, then a case can be filed against such person under section 138 of 'Negotiable Instrument Act 1881'. After the case is registered on the debtor, he can be fined or he can be jailed for two years or there is a provision for both.