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Why Cancelled Cheque is Required for PF Withdrawal?
A cancelled cheque is required for PF withdrawal to verify the bank account details of the EPF member. The cancelled cheque must have the following details:
- Name of the EPF member
- Bank name
- Account number
- IFSC code
The EPFO uses these details to ensure that the PF amount is credited to the correct bank account.
In addition, a cancelled cheque also helps to prevent fraud. When a cheque is cancelled, it cannot be used to withdraw money from the bank account. This means that the EPFO can be sure that the PF amount will not be misused.
If you do not have a cancelled cheque, you can submit a bank passbook or a bank statement instead. However, the bank passbook or bank statement must have the same details as the cancelled cheque.
Here are the steps on how to write a cancelled cheque for PF withdrawal:
- Take a fresh cheque.
- Draw two parallel lines across the cheque.
- Write the word “CANCELLED” in block letters between the lines.
- Do not sign the cheque.
You can also get a cancelled cheque from your bank. Just ask your bank for a blank cheque and then write “CANCELLED” across it.