You can now print your cheque in cts2010 with out any worries. Identify whether your existing citibank account cheque book is cts2010 compliant request for a new cheque book, if required also, please note that rbi has advised all banks holding postdated emi cheques to arrange for replacement of noncts2010 standard cheques with cts2010 standard cheques. Cheque issuing banks shall make all efforts to withdraw the noncts2010 standard cheques in circulation before the extended timeline of 31 july 20 by creating awareness among customers through sms alerts, letters, display boards in branchesatms, logon message in internet banking, notification on the website etc, rbi said. Rbi to introduce panindia cts by sept 2020 to make cheque. Gridbased cheque truncation system cts has been launched in chennai, mumbai. This system is followed for clearing cheques in an errorfree, fast and hasslefree manner. Non cts cheque bounce and validity in 2016 answered by expert chequebounce lawyer. Till now, cts was only operational in major clearing houses. Rbis directives on standardisation and enhancement of security features in cheque forms known as cts2010 as per rbi. Cheque truncation system cts or imagebased clearing system ics, in india, is a project of the reserve bank of india rbi, commenced in 2010, for faster clearing of cheques. Images that do not meet the specifications are rejected.
The reserve bank of india rbi, in its statement on development and regulatory policies, said, cts, which is currently. Rbi to move to cts for clearing governments cheques. April 14, 2015 dear all welcome to the refurbished site of the reserve bank of india. Cheque truncation system cts is a cheque clearing system undertaken by reserve bank of india rbi that aims at reducing the time involved in cheque clearing to one day. Cts is the abbreviated form of cheque truncation system and the reserve bank of india had issued a new guideline about cts cheques july 2018. Those who use cheques can expect clearing to become faster and safer. Therefore, we recommend you to destroy your old noncts2010 standard cheque book and place a request for a new cheque book. Chequetruncation means stopping the flow of the physical cheque. Yes, as per the new guidelines provided by rbi reserve bank of india all indian banks should follow cts2010 cheque formats, and virtual splat has already taken care about this rule. Cheque truncation system cts was pioneered by the reserve bank of india rbi, for faster clearing of cheques. Cts 2010 compliant cheques blogs, comments and archive news on.
Cts best practice guidelines national payments corporation of india 2. Cheque truncation system, abbreviated as cts, is nothing but an electronic verification procedure using imagebased processing. As per rbi guidelines, noncts2010 standard compliant cheques will be cleared through separate clearing session with effect from january 2014 which will cause delay in realisation of noncts2010 cheques. Cts cheque 2010 is a image based cheque clearing system undertaken by public banks of many countries for faster clearing of cheques based on electronic data. What kind of services will rbi provide to facilitate cheque truncation. If these features are present in your cheque book, it is a cts compliant one. Cheque truncation system cts cheque printing software. The rbi is now planning to implement a panindia cheque truncation system. Cheque truncation system cts or imagebased clearing system ics, in india, is a project of the reserve bank of india rbi, commenced in 2010, for faster. As the term proposes, truncation is the course of discontinuing the flow of the physical cheque in its way of clearing.
Home business banking beema if you are having non cts cheque book than take a new one, says rbi. Cheque truncation system cts explained bankexamstoday. Cheque clearing in india cheques continue to play a dominant role in indias retail payment system. Your cheques will be invalid from january 1, 2019, if it is a non cts cheque. With a view to enhance efficiency in cheque clearing, reserve bank of india has. The reserve bank of india rbi in its statement on developmental and regulatory policies issued today has informed that the cheque truncation system cts, which is currently operational at the major clearing houses of the country will be made operational pan india by september 2020. You can also request for a new cheque book through dbs atm or internet banking. The working group submitted its recommendations injuly 2003, and suggested a presenting bank. Cheque truncation system cts or imagebased clearing system ics, in india, is a project of the reserve bank of india rbi, commencing in 2010, for faster clearing of cheques. Cts best practice guidelines cts best practice guidelines. As per the rbi guideline, non cts cheque will become invalid from 1 january. Check your current cheque book is it valid new cts. The cheque truncation system cts is currently operational in india. Simple guide for customers to identify if their cheques are cts.
Those who use cheques can expect clearing to become faster and safer across the country with the reserve bank of india now planning to implement a panindia cheque truncation system cts from september 2020. Chennai bankers clearing house cbch procedural guidelines for cheque truncation system cts version 2. To help you identify whether the cheque book you currently hold is cts compliant or not, you can look for the following features. Cts2010 cheques have certain common security features and standardised field placements for enabling image based processing of. If you are having non cts cheque book than take a new one. Noncts cheques were meant to be discontinued from use throughout the country from 31 july 20. The reserve bank of india rbi has prescribed new guidelines on standardization of security features of cheques, which are aimed at enhancing customer safety and facilitating easier processing. The plan for replacement of the current cheque books with new features that was to start from january 1, 20, across india, has been postponed by the reserve.
Cheque truncation system cts 2010 standards bankbazaar. Rbi has also permitted clearance of non cts2010 standard cheques at grid. Bankers clearing house at for cheque truncation system. First and foremost, many thanks goes to axis bank, india for providing helpful information. Cheque issuing banks shall make all efforts to withdraw the noncts2010 standard cheques in circulation before the extended timeline of 31 july. Cts cheque clearance has indian banking moved ahead or. Cheque truncation system cts in india an introduction. If you have ordered your cheque books recently, say, a month. Just check, whether your existing cheque book is ctscompliant or you need to get a new ctscomplaint cheque book issued before 31st december 2012. Sep 05, 2018 cheque truncation system reserve bank of india. Cts transfer money cheque book truncation system rbi.
The reserve bank of india rbi has extended the deadline for implementing the cheque truncation system2010 cts 2010 by another three months. Rbi extends deadline for cts 2010 cheques indian express. Though banks have started issuing new cts2010 based cheque books to customers, a large number of noncts2010 standard cheques are still being used. Reserve bank of india procedural guideline for cheque. Noncts cheques valid till 31 july rbi india infoline. Offering cheque truncation system cts is a step in this direction. As per guidelines, non cts2010 cheques issued by bank in india will be withdrawn from circulation by march 31, 20. Rbis services include system development and installation at the clearing house, interfaces at the banks end, network, handholding, awareness propagation and training. How to identify my cheque book cts2010 standard compliant. Cheque truncation system cts is a cheque clearing system undertaken by the reserve bank of india rbi for faster clearing of cheques. The cheques before the implementation of cts did not contained sufficient security features to be identified clearly and hence, they were used accordingly for the malafide purpose. If you have availed a home loan and or auto loan and issued postdated cheques instead of opting for direct debit, then you will be required to replace such. Instead of this an electronic image of the cheque is transferred with vital essential data.
Procedural guidelines for gridbased cheque truncation system cts version 2. Does your software supports cts2010 cheque formats. Cts2010 is a standard benchmark recommended by rbi for the standardisation of. New rbi guidelines for cheque truncation consumer resources. International helpline 91446685 4555 or your relationship manager to request for a new cheque book. This means that there will be no physical movement of the cheque but rather an. Banks have now been asked to ensure all cheques are compliant with cts 2010 standards by april 1, 20.
Cheque truncation system cts in india is for faster clearing of cheques where cheque data are captured at the collecting bank branch and transmitted electronically to the drawee branch without the need for the physical. Noncts cheques may face further clearance delay from may. Thus, it is considered as the major landmark in the indian banking industry. Cheque truncation system cts is a cheque clearing system undertaken by the reserve bank of india rbi for quicker cheque clearance. Central government and uts are advised to be guided by the aforesaid circular of rbi and also coordinate with their banks in the successful implementation of full fledged cts implementation of cheque truncation system cts.
A sample video that demonstrate live cts cheque scanning in branch. It involves sending an electronic image of the cheque together with its magnetic ink character recognition micr data, and other relevant fields like date of presentation, presenting banks name, etc. Please note that as per rbi guidelines, non cts2010 cheques should be withdrawn before december 31, 2012. Policy on collection of chequesinstruments customer relations department. However, in the year 20 reserve bank of india rbi decided to implement the more awaited cheque truncation scheme cts. It is the, cheque truncation system cts introduced by rbi since march 31, 2006.
Rbi guidelines on standardization of security features for cheque leaves, referred to as cts2010 are aimed at enhancing customer safety and facilitating easier processing of cheques. Words cts2010 printed on the left hand side of the cheque leaf near perforation. Noncts cheques may face further clearance delay from may 1. In case if your cheque book does not reflect the aforementioned details you must obtain a new cts complied cheque book at the earliest, and surrender the noncompliant one to the bank. Cts is based on a cheque truncation or online imagebased cheque clearing system where cheque images and magnetic ink character recognition micr data are captured at the collecting bank branch and transmitted. Cts 2010 compliant cheques latest breaking news, pictures, videos, and special reports from the economic times. Apart from the process changes, customers may be guided. Annex v timings for cts in bankers clearing house at new delhi bchnd 36 annex vi adoption of uniform holiday calendar under. Rbi to move to cts for clearing govts cheques rbi today said it has decided to dispense with the requirement of physically forwarding paid central government cheques to. Procedural guidelines for cheque truncation system cts. Follow uniform holiday calender for cts cheque clearing. Rbi has decided to separate clearing system of cts 2010 cheques and noncts from 1 january 2014.
This article on cts cheque 2010 is for increasing public awareness and a special information for indian residents regarding cts cheque. The reserve bank of india rbi in its statement on developmental and regulatory policies issued today has informed that the cheque truncation system cts, which is currently operational at the. Fintotal news analysis noncts2010 cheques will take. Branches may issue a cheque book of 10 leaves, if a customer demands the. If you are still in possession of nonctc cheque books, then it is in your own interest to get those replaced with cts 2010 standard cheque books latest by december 31. Barman, to interalia suggest an appropriate model for cheque truncation in india. The new cts is the rbis version of a secure, reliable, efficient and timeeffective payment system. The number of cheque leaves in the multi city payable at par cts2010 standard cheque books will be as under. Request you to make a note that noncts compliant cheques would not be accepted by banks for clearing post 31 july 20. Noncts cheques valid till 31 july rbi the rbi has also said the system of post dated cheques and payment via emi, in either the old or new format. Reserve bank of india has therefore decided to focus on improving the efficiency of the cheque clearing cycle. Non cts cheque book will not accept, sbi cheque book rule. One, in addition to the default site, the refurbished site also has all the information bifurcated functionwise.
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