1.7 Status of an Individual Cheque

This topic briefs on different status of a cheque in the system.

Monitor Status of an Individual Cheque

A unit holder who uses the cheque writing facility could issue cheques to third parties for a transaction.

The bank at which the cheque is presented communicates with the AMC and sends the cheque details to the AMC. A redemption transaction is initiated for the unit holder who issued the cheque, in the fund for which the cheque was issued.

The used cheque details are typically sent to the AMC as a file, the contents of which may be uploaded into the system. You must define an interface that will upload the details from the file and also automatically trigger the generation of redemption transactions based on the cheque details.

Each cheque in an issued cheque book will pass through different statuses in the cycle of issue through clearing. To monitor the status of a cheque in the system, use the Cheque Status Summary screen.

The Active Status

When a cheque book is printed and issued against a request, and the details of the cheque book sent by a vendor are uploaded into the system, each cheque in the issued cheque book is marked with the Active status. This means that the cheque is now available to the unit holder to be issued to a third party for a transaction.

A stop payment instruction could be issued on an active cheque. An active cheque could also be rendered lost, if the unit holder misplaces it, or a third party to whom it is issued, misplaces it before presenting it at the bank.

You can manually change the status of active cheques in a cheque book as Stop Payment Issued, Lost, or Inactive, as deemed necessary, by amending the cheque status in the Cheque Status Summary screen.

A change in status of the original cheque book request could also affect the status of an active cheque in the cheque book. For instance, if the original request is marked with Cancelled status, then all cheques in the cheque book would automatically be marked Invalid.

The Used Status

Any cheque that has been issued by a unit holder, for which the details have been received by the AMC from the bank or clearing house, and uploaded into the system, is automatically marked as Used.

For such cheques, redemption transactions are generated when you execute the interface that you have defined, through the Online Execution of Interfaces option.

• If the transaction is generated successfully, the status of the Used cheque is marked as Redemption Cleared.
• If the redemption transaction fails to be generated successfully, the status of the Used cheque is marked as Redemption Failed.
• If the redemption transaction generated for the cheque is amended, the status of the Used cheque is marked as Redemption Amended.