December 11, 2012

New cheque format from January 2013 as per RBI

From January 1 2013 onward your existing bank cheque book will not work anymore. You might have heard about this change that RBI (Reserve bank of India) is going to implement. But as per RBI data 60% of people are yet to get aware of this news. As per RBI the new cheque leaf will have an electronic data like a bar-code which further can be scanned with a device to make this process more smooth and reliable. This process will be done by CTS (Cheque truncation system). In an age of online banking cheque facility is still used by a huge number of customers as it’s more reliable and a full proof way of transaction of physical money. After implementing this system banks can process a cheque much than faster than earlier.

Here you can find out the layout of the new cheque leaf format. As per the current system flow it takes generally 3-15 days to clear a cheque deepened up on many other factors. Like if your cheque is of same branch and same bank, then definitely lesser time.

new cheque format as per rbi
Image Source www.moneylife.in
But after implementing the CTS technology, Banks can scan the data of a cheque online and then communicate to other bank via email about the payment clearance. And this whole process can finish in just 2-3 hours of time only. This will completely remove the physical or manual involvement across banks to clear a cheque.

To implement this CTS-2012 system RBI has already advised Northern and southern banks to implement this system form April 2012. Well other banks were also expected to start by September 2012. Finally from this January this is going to be mandatory. Banks are trying their label best to aware or inform their customers mainly approaching them with this new system when some visited any branch.

Besides all these benefits both bank and customers has to face new challenges in coming days with this new CTS-2010 system due to knowledge gap. So both customer and bank stuffs should have to educate themselves to understand the new process.

You can share about this information among your friends and family to let them know.