Cheque bouncing up in April during second wave of Covid-19: HDFC Bank

Ehile cheque returns in April have risen slightly, it this does not necessarily point to a trend, say bank officials

The effects of the second Covid-19 surge are beginning to show on bank customers, with the instances of cheque bouncing rising by mid April, according to HDFC Bank.

Dishonoured cheques in April 2021 (half-way through the month) have risen slightly, possibly due to some panic caused by worsening medical conditions. But this does not necessarily point to a trend, bank officials said in an analyst call after the announcement of Q4 results.

Cheque returns were higher in April than in March. Between October 2020 and March 2021, there was clear reduction in cheque bounces and demand resolution. The return rate