The person who drawn the Demand Draft (DD) or the purchaser of the DD will be having the authority to cancel the DD at any time after it was issued by the Banker. And there are certain rules formulated by the Bankers on their own and even must abide by the Guidelines of the Reserve Bank.
|DD Cancellation at any Branch|
A Demand Draft can only be cancelled by the Purchaser of the DD and no other one will be having the right to cancel and get the refund. The purchaser of the DD must write a request letter to the Banker in which he had drawn the DD. And here the Bank Branch will be called as DD Issued Branch.
The DD Issued Branch will be having the right and authority to cancel the DD and refund the same amount by deducting the DD Cancellation charges to the purchaser of the DD. And the DD can not be cancelled by the Other Branches of the Bank.
For instance, Mr. James has drawn a Demand Draft at Kurnool Bazaar Branch at Kurnool in State Bank of India. In order to cancel the DD Mr. James has to reach to the Kurnool Bazaar Branch at Kurnool only. And he can not cancel it either from Main Branch of the State Bank of India at Kurnool or some other Branch.
When the purchaser of the Demand Draft reaches a branch with the request letter he has to put his Signature in the DD Cancellation Request Letter as he was signed in the DD Application Form. So, the Bank Officer will verify the Signature with the signature on the DD Application Form.
The DD Application Form will only be available at the Issued Branch. Therefore in order to verify the purchaser must reach to the DD Issued Branch only. And this is the reason why the Demand Draft can not be cancelled from the other than the DD issued Branch.