Demand draft is pre-paid negotiable instrument i.e. the drawer has to pay the total amount in the drawee bank when it is presented by the payee or the payee bank for payment. It is always payable on demand.
SBI DD Application Form Slip
- At the top left corner of the right side counterfoil beneath the name of State bank of India you have to mention the “branch name” from where you are applying for the demand draft.
- Then tick the option “draft” as you intend to apply for the demand draft.
- Mention the date in the space given in the right corner.
- Mention the name of the person or account to whom you wish to pay or honor the DD in the space “In Favour of”.
- Mention the amount in words for which you want to draw the DD.
- Mention the State Bank Branch name where the DD will be presented for honoring under the head “Payable (branch)”.
- Fill in the PAN Number of the applicant if the amount is more than Rs. 50,000.
- Enter the details like “name and address of the applicant” in the space provided in the form.
- Fill in the amount in figures in the rectangular space provided in the form which is on the right side of the form.
- Below the amount in figures is the exchange column where you have to mention the commission amount which the bank charges. The charges vary as per the amount of Demand draft so always ask the officer for the exchange amount.
- Finally in the rectangular space below the exchange put the Totale. the addition of the amount of DD and exchange.
- The applicant must compulsorily sign the application form