How to Write a Cheque: A Simple Guide

What is a cheque?

A cheque is a written instruction from you to your bank to pay a specific amount to the named person or business. It records who you are paying, how much, and when the payment should be made.

Steps to write a cheque

Step 1: Date

Write the current date on the top right (or as directed by your cheque format). The date shows when the cheque was issued.

Step 2: Payee

On the line that says \"Pay to the order of\" write the name of the person or business you want to pay. Make sure the spelling is exact.

Step 3: Amount in numbers

In the small box to the right of the payee line, write the amount you want to pay in numbers, e.g., 123.45. Start near the left edge to reduce tampering.

Step 4: Amount in words

Fill the line below with the amount in words. This helps confirm the total. For example: \"One hundred twenty-three pounds and 45/100\" (adapt to your currency).

Step 5: Signature

Sign the cheque exactly as you sign on your bank records. This authenticates the instruction.

Step 6: Memo (optional)

You can add a brief note in the memo field to indicate what the payment is for, which can help you track expenses.

Tips to avoid common mistakes

• Use clear, legible handwriting so the details are easy to read.
• Use blue or black permanent ink; avoid pencils or erasable inks.
• Make sure the numbers and words match the amount you intend to pay.
• Fill in all fields and avoid leaving spaces that could be tampered with.
• Keep a record of each cheque in your cheque register or accounting app.

Common mistakes and prevention

• Mistake: forgetting to date the cheque. Prevention: write the date before handing it over.
• Mistake: misspelling the payee's name. Prevention: double-check the name on the cheque is correct.
• Mistake: incorrect amount in words vs. numbers. Prevention: ensure both amounts match exactly.
• Mistake: forgetting to sign. Prevention: sign last before you hand it to the recipient.