21/02/2026
If a cheque issued to you is dishonored by the bank for "insufficient funds," you have a strong legal remedy under Section 138 of the Negotiable Instruments Act, 1881.
The Golden Timeline:
1️⃣ Bank Memo: Get the 'Cheque Return Memo' from your bank.
2️⃣ Legal Notice: Send a legal notice to the defaulter within 30 DAYS of receiving the memo. (Crucial Step!)
3️⃣ Waiting Period: Give them 15 DAYS to make the payment.
4️⃣ File Case: If no payment is made, file a complaint before the Magistrate within 30 DAYS after the waiting period ends.
Punishment: Up to 2 years imprisonment, or fine up to twice the cheque amount, or both.
⚠️ Disclaimer: This is for information purposes only and does not constitute legal advice. Consult a lawyer for your specific case.
