Know the correct usage of Lakh and Lac while writing checks as per RBI guidelines. Find out the importance of these terms and avoid confusion. in this article we provide you information about how can you fill the bank check amount its right to write lac or not as per RBI Guidelines. all information provide in this article step by step, read this article till the end and share with your friends
All Banking and checks to play a major role in our financial lives. Ensuring accurate check writing is important, especially when it comes to specifying the payment amount. Confusion arises when individuals use “Lakh” and “Lacc” interchangeably while writing cheques. In this article, we will give you information the importance of these terms and the relevant regulations set by the Reserve Bank of India (RBI).
Understand the difference between Lakh and Lac in a written cheque
- In the context of writing a cheque, “Lakh” refers to the numerical representation of 100,000. On the other hand, “Lac” refers to a sticky substance extracted from insects, which is used in the manufacture of varnishes, paints and sealing waxes. Despite these differences, both terms are often used colloquially in India.
- The Reserve Bank of India has not provided specific guidelines to the general public regarding the usage of “Lakh” or “lac”written in the check However, banks are mandated to follow certain guidelines. RBI's main circular states that "Lakh" is the correct word to denote the number 100,000 in English. This indicates that “Lakh” is an accepted term in the banking sector and is commonly used in RBI communications. if you written Lac then bank was going to your check was cancle.
