A processor-implemented method comprising: receiving, by one or more hardware processors, a cheque image and a data file, wherein the data file comprises data records with values corresponding to sensitive data fields in the cheque image; obtaining, by the one or more hardware processors, a template cheque image matching to the cheque image and redacted information associated with the template cheque image, wherein the redaction information comprises metadata information and information about sensitive fields and wherein the metadata information comprises memory space required by the template cheque image, dimensions, an image file format type, a compression scheme used to compress the template cheque image, a type of the template cheque image and a bit depth of the template cheque image; generating, by the one or more hardware processors, a blank image snippet for each of the sensitive data fields in the cheque image based on the metadata information and at least a part of the obtained information about sensitive fields, wherein the at least a part of the obtained information about sensitive fields comprises co-ordinate information associated with the sensitive fields; writing, by the one or more hardware processors, values corresponding to each of the sensitive fields from the data file to the blank image snippet based on the remaining information about sensitive fields, wherein the remaining information about the sensitive fields comprises information associated with color, font, content, font size, and overlapping foreground and background content and wherein the color of the sensitive field is represented by a mean of pixel values used to represent content in the sensitive field; updating, by the one or more hardware processors, the template cheque image with the image snippet; and copying, by the one or more hardware processors, data of non-sensitive fields in the cheque image to the template cheque image, thereby facilitating cheque image data masking. receiving, by one or more hardware processors, a cheque image and a data file, wherein the data file comprises data records with values corresponding to sensitive data fields in the cheque image; obtaining, by the one or more hardware processors, a template cheque image matching to the cheque image and redacted information associated with the template cheque image, wherein the redaction information comprises metadata information and information about sensitive fields and wherein the metadata information comprises memory space required by the template cheque image, dimensions, an image file format type, a compression scheme used to compress the template cheque image, a type of the template cheque image and a bit depth of the template cheque image; generating, by the one or more hardware processors, a blank image snippet for each of the sensitive data fields in the cheque image based on the metadata information and at least a part of the obtained information about sensitive fields, wherein the at least a part of the obtained information about sensitive fields comprises co-ordinate information associated with the sensitive fields; writing, by the one or more hardware processors, values corresponding to each of the sensitive fields from the data file to the blank image snippet based on the remaining information about sensitive fields, wherein the remaining information about the sensitive fields comprises information associated with color, font, content, font size, and overlapping foreground and background content and wherein the color of the sensitive field is represented by a mean of pixel values used to represent content in the sensitive field; updating, by the one or more hardware processors, the template cheque image with the image snippet; and copying, by the one or more hardware processors, data of non-sensitive fields in the cheque image to the template cheque image, thereby facilitating cheque image data masking.