Why cheques can be dishonoured?

The most usual reason why a cheque is dishonoured is that the cheque was written on a bank account that does not have enough money in it to cover that payment, which is called insufficient funds. Other reasons include stop payment (the peson who wrote the cheque has changed his or her mind and withdrawn the authorization for the transfer of funds), frozen account (some authority has ordered the account frozen, so that no transactions are permitted) or account closed.

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