Chapter XIV - Of Crossed Cheques
Section 125
Section 125: Crossing after issue
Section 125 specifies who may add or change particular crossings after a cheque has been issued.
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Need advice on Section 125?
This article is for general information. Refer to the Negotiable Instruments Act, 1881 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
Where a cheque is uncrossed, the holder may cross it generally or specially.
Where a cheque is crossed generally, the holder may cross it specially.
Where a cheque is crossed generally, or specially, the holder may add the words “not negotiable”.
Where a cheque is crossed specially, the banker to whom it is crossed may again cross it specially to another banker, his agent, for collection.
Applicability and limits
A holder may cross an uncrossed cheque generally or specially, turn a general crossing into a special one, and add “not negotiable” to either type. A specially named banker may make a further special crossing to its collection-agent banker.
The text does not authorise a holder to erase an existing special crossing or freely substitute another banker. The further special crossing described here is for collection through the named banker’s agent.
Hypothetical example
Hypothetical: a supplier receives an uncrossed cheque and, as holder, adds a special crossing to its bank. If that bank uses another banker as its collection agent, the last paragraph governs the further crossing.
Evidence and decision flow
Establish the person’s status as holder or specially named banker.
Record the existing marking before making an allowed addition.
For a further special crossing, retain the collection-agent relationship evidence.
Practical checklist
Do
- Establish the person’s status as holder or specially named banker.
- Record the existing marking before making an allowed addition.
- For a further special crossing, retain the collection-agent relationship evidence.
Avoid
- The text does not authorise a holder to erase an existing special crossing or freely substitute another banker. The further special crossing described here is for collection through the named banker’s agent.
Glossary
- Holder
- The person with the entitlement described in section 8.
- Agent for collection
- The other banker used by the specially named banker to collect the cheque.
Frequently asked questions
Can the holder cross a cheque after issue?
Yes, an uncrossed cheque may be crossed generally or specially by its holder.
Can a general crossing become special?
Yes. Section 125 expressly permits the holder to do that.
Can any second bank be added without qualification?
The stated further special crossing is by the named banker to another banker acting as its agent for collection.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026