Recently I had to submit a demand draft(DD) in college for taking admission. The value for which demand draft had to be made was Rs. 55062.
Banks have a rule that you must have to debit money from account for making demand draft if the value of DD is above Rs. 50,000. This is done for tax purposes.
However, if the demand draft value is less than Rs. 50,000, there is no need of bank account. You can simply pay by cash in that case.
Applying for DD offline takes time. First, you have to fill form and attach a cheque if the DD amount is above Rs. 50,000.
Then you have to wait for like at least half an hour for DD in the bank if the bank is PSU like State Bank of India(SBI), Punjab National Bank(PNB), etc. Also there are chances of mistyping of institution name(in favour of) in DD by bank officials since it is entered by them.
Previously all the DDs which I got issued were of low values. This time, the value of DD was high.
I was short on time. This time, I also had an online SBI account(Internet Banking enabled savings account from State Bank of India).
So I thought of applying online for Demand Draft using OnlineSBI. In online mode, there is no possibility of mistyping since you enter all the details.
In this post, I will be sharing how I applied for demand draft online SBI and got it from bank. Although if you have time, you can get the DD delivered to your home through courier by paying extra Rs. 51 in commission amount.
These are the steps to Issue Demand Draft from Online SBI:
1) Login to your Online SBI account.
2) Click on ‘Payments/Transfers’ tab after logging in as shown in the image.
- First of all, change the default Demand Draft limit to your need. Make sure that you have enough amount in your bank account for the DD.
- Then select the account from which you want to debit the amount for DD if you have more than one savings account or current account.
- Then enter the amount of the demand draft. In my case, it was Rs. 55062.
- Then enter the ‘In favour of’ field i.e., the institution, college, university, person or company name whom you want to pay the DD.
- Then choose the purpose of the DD from the drop-down menu. For me, the purpose was ‘Payment of Education fee’.
- Then enter the branch code for the branch at which the demand-draft is payable. If you don’t have the specific branch given from college or university, then don’t worry and select the service branch of that city or state.
For example, my college gave me only the area Payable at which was ‘New Delhi’ and not any specific branch. So I went to ‘Branch Locator’, searched for Service Branch, entered its branch code and then clicked on ‘Get Branch Name’.
In offline form, it is not mandatory to fill this branch code. It made me worry at first but branch code doesn’t matter since all the dealings are done online.
- Now select the Delivery mode- ‘Collect in Person’ or ‘Courier’. In first method, you have to visit the branch from where you debited the amount for DD and collect the DD.
In second method, DD is sent to you through courier for an extra fee of Rs. 51.
- After that, click submit.
Print the counterfoil, take it with you to the branch during the bank working hours, show it to the bank official and collect the DD.
Otherwise I would have got it in less time. Since all the details are already filled in online mode, bank officials just need to take a print-out so they don’t take as much as time in offline mode.