Need to make a secure payment for admission, government fees, tender, or property booking? A Demand Draft (DD) from Indian Bank is still one of the safest payment methods accepted across India.

In this guide, we explain Indian Bank DD charges in 2026, commission rates, cancellation fees, validity, and how to apply — in simple, step-by-step format.

Quick Summary: Indian Bank DD Charges (2026)

Particular	Details
Minimum DD Amount	As per bank rules
Commission Charges	Based on DD amount
GST	Applicable on commission
Validity	Typically 3 months
Mode of Issue	Branch (NetBanking may vary)
Cancellation Charges	Applicable

Charges may vary by branch and are subject to revision. Check your branch for confirmation.

What is a Demand Draft (DD)?

A Demand Draft (DD) is a prepaid instrument issued by Indian Bank. The bank guarantees payment to the beneficiary.

It is commonly used for:

• College or exam fees
• Government payments
• Tender deposits
• Property booking
• Official applications

Unlike cheques, DDs do not bounce due to insufficient balance because payment is already secured.

Indian Bank DD Charges 2026 (Commission Structure)

Indian Bank charges a commission based on the draft amount.

Typical Structure (Illustrative)

• Up to ₹5,000 – Minimum fixed charge
• ₹5,001 to ₹10,000 – Slightly higher commission
• Above ₹10,000 – Percentage-based commission (with minimum limit)

Additionally:

• GST (18%) is charged on the commission amount
• Outstation DD charges may differ
• Staff/senior citizen concessions may apply (if eligible)

Exact rates may vary by branch. Confirm before issuing large-value DDs.

Example Calculation (Illustrative)

Suppose you request a DD of ₹50,000.

• Commission: As per slab rate
• GST: 18% on commission
• Total payable = DD amount + commission + GST

Always ask the branch for total payable before submitting the request.

How to Get Demand Draft from Indian Bank (Step-by-Step)

Method 1: Visit Branch

Step 1: Fill DD Application Form

Provide:

• Your name
• Beneficiary name
• Amount
• Payable location

Step 2: Submit Payment

You can pay via:

• Debit to your Indian Bank account
• Cash (may have limits as per RBI rules)

Step 3: Collect Demand Draft

The draft is usually issued immediately.

Method 2: Through NetBanking (If Available)

Some branches may allow DD request through NetBanking.

Steps:

1. Login to Indian Bank NetBanking
2. Go to Requests → Demand Draft
3. Enter beneficiary details
4. Confirm and submit

You may need to collect the physical DD from branch.

Availability may vary by location.

Indian Bank DD Cancellation Charges

If your DD is unused, you can cancel it.

Process:

1. Visit branch
2. Submit original DD
3. Fill cancellation request form

Charges:

• Cancellation fee (as per bank rules)
• GST on cancellation charges

Refund is credited to your account after verification.

Indian Bank DD Validity

• DD is typically valid for 3 months from date of issue
• After expiry, it must be revalidated
• Revalidation may require branch visit

Always check expiry date printed on draft.

Common Issues & Solutions

1. Lost Demand Draft

• Immediately inform branch
• Submit written request
• Indemnity bond may be required
• Reissue charges may apply

2. Name Mistake in DD

• Cannot be corrected
• Must cancel and issue new DD
• Cancellation charges applicable

3. DD Not Accepted

• Check validity
• Confirm correct payable location
• Ensure no overwriting

Security Tips for Using DD

• Verify beneficiary name carefully
• Keep receipt safely
• Avoid sharing DD copy publicly
• Cancel unused drafts promptly
• Check charges before large transactions

FAQs: Indian Bank DD Charges

Conclusion

Indian Bank DD charges depend on the draft amount and applicable commission slabs. While the process is simple, it’s important to:

• Confirm commission and GST before payment
• Double-check beneficiary details
• Track validity period
• Keep your receipt safely

For exact and updated DD charges in 2026, check with your Indian Bank branch, as fees may vary by location and account type.