Demand Draft is a very common financial instrument issued by the bank to the customer. A person can get a DD issued for a certain amount from the bank to pay someone. A DD is an instrument that remains valid for some time, generally, it is 6 months in India unless said otherwise. A demand order is issued against a particular payee and the name remains printed on the DD. However, the biggest problem is that what if there is no need for payment. What you need to cancel the DD. In all such cases, you need to write a letter to the Bank Manager asking him to cancel the DD.
Here is how you should write a letter to the Bank Manager for the cancellation of the DD.
The letter must be addressed to the Bank Manager of the bank branch where the DD was issued. The name of the bank, branch and the address of the branch should be mentioned.
The next is to provide the details of the applicant, the name, and the full address.
This is the date of writing the letter.
This is the headline of the letter and should be the summary of the content. In this case, the matter is cancellation of the DD, hence, the subject should have the cancellation of the DD and the DD number should be mentioned as well.
This is the main part of the letter and it should be descriptive enough for the bank manager. This part must answer few things like why the customer wants to cancel the DD when it was issued and what is the validity of the DD should be mentioned. The body should also mention the DD number, account number of the customer. The contact number of the customer must also be mentioned. All the required documents and the details must be attached with the application letter. The same should be mentioned in the letter as well.
Thank the manager before the closure of the letter.
The letter must be closed with the name of the applicant.
Before handing over the letter to the bank manager, you need to ensure that the DD that was issued is available to you. For cancellation of the DD, you must have the original DD with you. The identity proof may also be required.
Here is the format of the letter for DD cancellation.
The Bank Manager
123 Road, MNP Area
234 Road, ABC Area
Subject: Cancellation of DD Number – XXXXXX, Issued on 21/01/2018
I am ABC and hold a bank account in your branch (Account Number –XXXXXXXX), Resident of 234 Road, ABC Area, XYZ City, since 2013. I requested for a DD of amount INR 40000 on 21st January 2018. The bank subsequently issued the DD with DD number XXXXXX on the same date. However, as the deal between Supplier and me has cancelled, I would want to cancel the DD henceforth.
The original DD has been attached to the application letter for further details. I can be contacted by my registered mobile number – XXXXXXXXXX. I shall be very grateful if you cancel the DD with immediate effect and transfer back the amount issued on it.