AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
To write a cheque in Nigeria, fill in the date, the payee's full name, the amount in words and the same amount in figures, then sign exactly as on your bank mandate. Cross it with two parallel lines and "A/C Payee" if it must be paid into an account. Words and figures that differ, visible alterations, and post-dated or stale cheques are the commonest reasons for trouble under CBN clearing rules.
Fewer people write cheques now that transfers are instant, but cheques are still used for rent, school fees, contracts and company payments. A cheque is processed by scanning: under the CBN's cheque truncation system, banks clear an image of the cheque, not the paper. That makes neat, consistent writing more important, because the image is what the paying bank examines.
The fields, one by one
| Field | What to write | Tip |
|---|---|---|
| Date | Today's date in full, for example 19/10/2026 | Do not write a future date unless you mean to post-date it |
| Pay | The payee's full legal name or the company's registered name | Match the name on their account; avoid nicknames |
| Amount in words | For example: Two hundred and fifty thousand naira only | Start at the far left and end with "only" |
| Amount in figures | ₦250,000.00 | Write close to the ₦ sign, leave no gap |
| Signature | Your signature as on the bank mandate | On joint or company accounts, all required signatories sign |
Draw a line through any empty space after the words and after the figures so nothing can be added. If kobo is involved, write it in both places, for example "Two hundred and fifty thousand naira, fifty kobo only" and "₦250,000.50".
Crossing a cheque
A crossing is a pair of parallel lines across the top left of the cheque. It tells the bank not to pay cash over the counter, only into a bank account. Writing "A/C Payee" or "Account Payee Only" between the lines goes further and directs that it be paid into the named payee's account. An open (uncrossed) cheque can be cashed at the counter, which is convenient but riskier if it is lost. See crossed vs open cheques for when each makes sense.
Banks also add their own crossing: the CBN's cheque truncation guidelines require the presenting bank to brand the cheque with its special crossing and presentation stamp before scanning. That stamp is separate from the crossing you add.
Common mistakes that cause problems
Words and figures that differ
If "Two hundred thousand" sits beside ₦250,000, the cheque is defective. The CBN guidelines treat "amount in words and figures differ" as a ground on which liability is split between the presenting and paying bank, so banks check it closely and you should expect such a cheque to be returned.
Alterations and overwriting
Under the same guidelines, the presenting bank is fully liable for alterations or erasures visible under UV light. Banks are therefore cautious with any cheque that shows corrections. If you make a mistake, cancel the leaf (write "cancelled" across it) and write a new one rather than correcting it.
Post-dated and stale cheques
A post-dated cheque carries a future date; a stale cheque is one presented after its validity period. The CBN guidelines make both the presenting and paying bank liable if either is paid. Read how long a cheque is valid before accepting an old cheque.
Signature that does not match
The paying bank compares your signature with its mandate card. A rushed or changed signature is a common reason for return. If your signature has changed, update the mandate first.
Writing a cheque to a company or for a large sum
Write the company's full registered name, including "Limited" or "Ltd", exactly as it appears on its account; a cheque to a trading name that differs from the account name may be returned. For a large payment, ask the payee to confirm the name in writing first. Some payees prefer a bank draft, which is issued by the bank and does not depend on your balance at the time of clearing; see bank draft vs cheque. Never hand over a cheque with the payee line blank, even to a trusted courier.
Limits worth knowing
- From 1 January 2026, the CBN capped encashment of third-party cheques over the counter at ₦100,000, and that amount counts towards the weekly cash withdrawal limit (Channels TV, 3 December 2025). Larger third-party cheques go through clearing into an account.
- The CBN's cheque truncation guidelines allow value limits on cheques to be set from time to time.
- Cheques clear on a T+1 basis under the guidelines, with value on the morning of T+2.
Before you hand it over: a checklist
- Date correct and not in the future
- Payee name spelt exactly
- Words and figures identical, gaps closed with lines
- Crossed if it must go into an account
- Signed as on the mandate
- Cheque number recorded in your stub or notes
Record the cheque number, date, amount and payee somewhere safe. If the cheque is lost, you will need these details to stop the cheque quickly. Cheque books cost money too: UBA's September 2026 tariff, for example, lists ₦1,511 plus VAT for 25 leaves.
Where Pryme fits
For most everyday payments a transfer is quicker to make and easier to prove (see is a transfer receipt proof of payment). With Pryme you can send money and generate a verifiable receipt through our partnership with VerifyDoc.ai, which the payee can check is genuine and unaltered (receipts).
Questions people ask
How do I write ₦150,000 in words on a cheque?
Write "One hundred and fifty thousand naira only", starting at the left of the line, and draw a line through the space after it.
What does A/C payee mean on a cheque?
It means the cheque should be paid only into the account of the named payee, not cashed or paid into someone else's account.
Can I correct a mistake on a cheque?
It is safer not to. Banks are wary of alterations because they are liable for visible ones under CBN rules. Cancel the leaf and write a new cheque.
Can I cash a third-party cheque over the counter?
Since January 2026, third-party cheque encashment over the counter is capped at ₦100,000 and counts towards your weekly cash limit.
Sources
- CBN: Guidelines for Cheque Truncation in Nigeria (version 0.4, Oct 2011) · accessed Oct 2026
- Channels TV: CBN revises cash withdrawal rules effective January 2026 (3 Dec 2025) · accessed Oct 2026
- UBA Nigeria: Service Charges and Rates (PDF dated 11 Sept 2026) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.