PAYMENTS

How to Track Pending, Cleared, Bounced and Cancelled Cheques

A cheque in hand is not yet cleared money. Treating both as the same can make the business balance look healthier than it really is.

By Olo India Editorial TeamUpdated 27 August 20266 min read

Pending to cleared

Record the instrument as pending with its reference or cheque number. Move it to cleared only after successful realization.

Bounced and cancelled are meaningful outcomes. Preserve the status and review the related party due instead of silently deleting the record.

Filter by status and follow up old pending instruments regularly.

COMMON QUESTIONS

Should pending cheque increase cleared balance?＋

No. It should remain outside cleared available value until realization.

What happens after a bounce?＋

The related payment and party due should be reviewed according to the business accounting workflow.

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