Would a bank customer incur any charges by using cheques for payments?
The person receiving payment by means of cheques would incur some charges to realise the funds through this bank. In case of local cheques, no charges are levied. In case of outstation cheques, the bank would take some processing / collection charges depending upon the amount of the cheque and the place from where it has to be realised. The charges levied by the banks are generally decided by the Indian Banks’ Association or the banks themselves. Banks are also required to publicise the schedule of service charges.