Checks with erasures, corrections – no longer accepted in 2016

Photo from foxbusiness.com

Starting January 4, 2016 checks with erasures, corrections, and any forms of deficiencies shall no longer be accepted based on the Philippine Clearing House Corporation (PCHC) Memo Circular 15-460.

With the said memo, clients are urged to refrain from making any alterations on issued checks effective immediately.

According to the memo, any alterations made on the date, identification, amount (figures and words), signature, account name and number, check number, MICR character, or non indication of date, payee, amount payables in figures, amount payables in words except for checks issued by banks (Manager’s or Cashier’s Checks, Demand Drafts) using a check writer, or signature of the drawer will no longer be valid and accepted except for Post Dated Checks bearing bank stamp.

This ‘no erasures’ rule is in relation to PCHC’s Check Image Clearing System that will help shorten the processing of checks from three days to one.

According to PCHC, this will also help in the security measures of all banks.  For more information about the memo, see images below.

Source report from: http://www.mb.com.ph/checks-with-erasures-will-no-longer-be-accepted/