Are you looking to know about cheque return reasons refer to drawer and kindly contact drawer or drawee bank and present again in clearing? If yes then you came to article.
In this article you get to know cheque return reason refer to drawer. This article is written after referring more than 7 articles related to this topic.
Cheque returns reasons 4 and 5 refers to Refer to Drawer and kindly contact drawer/drawee bank and present again in clearing.
04 REFER TO DRAWER
This is one of the cheques return reason. Its cheque return code is 04. It means drawer of the cheque mentioned some specific reason to pass the cheque.
Bank mention Refer to Drawer cheque return reason in the following cases.
Insufficient Funds in drawers account,
Payment stopped by the drawer,
Drawer account is frozen.
Few times bank does not want to destroy drawer reputation of the drawer in the eyes of the payee so they mention this cheque return reason.
05 KINDLY CONTACT DRAWER/DRAWEE BANK AND PRESENT AGAIN IN CLEARING
This is cheque return reason no 5. In this bank inform the payee of the cheque need to contact the drawer or maker or creator of the cheque to settle his payment.
In simple words its means payee needs to contact the drawer or drawee bank to know the reason why cheque is returned. After knowing the reason of the cheque return, he needs to contact drawer of the cheque. In few cases amount is not available to make payment of the cheque. If drawer deposit the money in his bank account to make a payment. If he resolves the issue, payee of the cheque can present the cheque in clearing for payment.
CONCLUSION:
Dear reader in this article you get to know about cheque return reasons or cheque dishonor reasons refer to drawer and kindly contact drawer or drawee bank and present again in clearing. In these both the case bank cannot be able to process the payment. Account holder will be charged for cheque returns. Hope you understood the things better. If you have any query regarding this article kindly comment below.
FAQs
What does refer to drawer means in the bank?
Drawer means maker or owner or creator of the cheque. In simple words one who sign on the cheque.
What does refer to drawer not arranged for mean?
It means drawer account having insufficient balance.
What is reason 5 for cheque return?
Cheque return reason no 5 is kindly contact drawer/drawee bank and present again in clearing.