Accounting For Cancelled Checks: Become Stale, Voided or Spoiled
Accounting For Cancelled Checks: Become Stale, Voided or Spoiled
Accounting For Cancelled Checks: Become Stale, Voided or Spoiled
Checks may be cancelled when they become stale, voided or spoiled. The depository bank
considers a check stale, if it has been outstanding for over six months from date or issue or as
prescribed.
A stale, voided or spoiled check shall be marked cancelled on its face and reported as follows:
Voided, spoiled or unclaimed stale checks with the cashier shall be reported as cancelled in
the List of Unreleased Checks that will be attached to the RCI.
New Checks may be issued for the replacement of stale/spooled checks in the hands of the
payees or holders in due course, upon submission of the stale/spoiled checks to the
Accounting Division/unit. A certified copy of the previously paid DVs shall be attached to
the request for replacement. A JEV shall be prepared to take up the cancellation. The
replacement check shall be reported in the RCI.
MDS check comes from Budget. Any unused budget are reverted back. So MDS will be zero at the end
year, but the commercial checks are not reverted back for the reason na hindi siya galling sa budget.
IN SUMMARY:
Cancelled Checks (e.g, stale, voided or spoiled) are reverted back to cash