The Bank of Ghana (BoG) has announced a new set of stringent sanctions aimed at curbing the persistent issuance of dud cheques by customers of banks and Specialised Deposit-Taking Institutions (SDIs), citing concerns over risks to confidence in the national payment system.
In a notice issued under BG/GOV/SEC/2026/12, the central bank expressed concern over the continued high incidence of dud cheques despite earlier directives issued in 2021 and 2025 to discourage the practice.
The BoG said the new measures are intended to strengthen compliance, protect financial institutions, and sustain trust in cheque-based transactions across the banking sector.
Under the new framework, banks and SDIs are required to impose escalating penalties on customers who issue dud cheques.
A first-time offender will be charged 10% of the cheque’s face value, issued a formal warning, reported to Credit Reference Bureaus and the Bank of Ghana, and placed under surveillance for at least one year.
The warning may be communicated via SMS, email or other official channels.
A second offence within one year will attract a 15% penalty, along with another warning and mandatory reporting to regulatory and credit reference institutions.
A third offence within the same period will result in a 20% charge on the cheque’s value, with continued reporting to regulatory bodies.
The Bank of Ghana further stated that customers who issue dud cheques three times within one year will be banned from issuing cheques nationwide for a minimum of three years.
However, such customers may still receive funds and conduct electronic transactions on affected accounts.
They will also be barred from accessing new credit facilities for at least one year, with all banks and SDIs duly notified of the restriction.
Upon notification, banks are required to recall all unused cheque books and prevent issuance of new ones to affected customers until sanctions are lifted.
The central bank also indicated that it may publish a list of repeat offenders and establish a Directory of High-Risk Cheque Issuers to be used across the financial sector.
Banks and SDIs have been instructed to continue reporting dud cheque cases to Credit Reference Bureaus in line with the Credit Reporting Act, 2007 (Act 726).
They are also required to submit monthly reports to the Bank of Ghana by the 10th of the following month, including nil returns where no incidents are recorded.
Failure to comply with reporting requirements or submission of inaccurate data will attract sanctions under the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930).
In addition, financial institutions must display copies of the notice prominently in banking halls and on their official websites.
The Bank of Ghana stated that the directive takes immediate effect and supersedes earlier notices issued in March 2021 and October 2025.
The central bank said the measures form part of broader efforts to safeguard the integrity of the financial system and ensure responsible use of cheque instruments in Ghana’s banking sector.
The notice was signed by Aimee Vyda Quashie, Secretary of the Bank of Ghana.
