Non cts cheque bounce and validity in 2016 answered by expert chequebounce lawyer. Account holders of the erstwhile associate banks can now apply for new cheque books till december 31, 2017, which in effect means that the old cheque books are still valid. 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. Punjab national bank pnb has asked its customers to get their noncts compliant cheques replaced as these instruments will not be accepted for clearance in the banking system from january. This video explains the validity period of cheque and amount of cheque. The cheque collection policy of the bank is a reflection of our on going.
The branch address and ifsc code should be on the top left side of the cheque 2. Cheque books of these banks to be invalid after today. Noncts cheques may face further clearance delay from may. 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 cheques to move from the collecting bank to the drawee bank. If you have ordered your cheque books recently, say, a month ago, you may already have the new cheque leaves with you.
One, in addition to the default site, the refurbished site also has all the information bifurcated functionwise. A chequebook is a book containing detachable blank cheques, issued by a bank or building society to holders of cheque accounts. Cts2010 compliant cheque will have the printer details along with the text cts2010 printed on the extreme left hand of the cheque leaf. Cheques truncation system cts and non cts micr would be presented. 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. Many banks have still not asked their customers to surrender the noncts 2010 cheque books to reflect the change, a crosssection of. Three things to know if you still use cheques livemint.
Cheques instruments lost in transit in clearing process or at paying banks branch. Noncts cheques valid till 31 july rbi india infoline. As per rbi guidelines, noncts2010 standard compliant cheques will be accepted for clearing up to july 31, 20. April 14, 2015 dear all welcome to the refurbished site of the reserve bank of india. Cheque clearing in india cheques continue to play a dominant role in indias retail payment system. Punjab national bank pnb has asked its customers to get their non cts compliant cheques replaced as these instruments will not be accepted for clearance in the banking system from january. 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. Reserve bank of india procedural guideline for cheque. 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, will be banned from now wherever electronic. This article on cts cheque 2010 is for increasing public awareness and a special information for indian. However, there may be situations when the drawer of a cheque limits the cheque validity period to less than six 6 months. The reserve bank of india has extended validity of old cheque book non cts2010 standard up to july 31, 20.
Your old cheque leaves may not be valid after march 31, 20, as the rbi has instructed all banks to implement the cheque truncation system. Rbi guidelines on standardization of security features for cheque leaves, referred to as cts2010 are aimed at enhancing customer safety and facilitating easier. Hdfc bank began operations in 1995 with a simple mission. We realised that only a singleminded focus on product quality and service excellence would help us get there. How to identify my cheque book cts2010 standard compliant. To help you identify whether the cheque book you currently hold is cts compliant or not, you can look for the following features. As per rbi guidelines, with effect from april 1, 2012, the validity period of cheques, demand drafts, pay orders and bankers cheques will be reduced from 6 months to 3 months, from the date of. Banks would do better if they display new cheque format in their branch. Hdfc bank awards consistently awarded among indias best. You can also check if your chequebook is cts2010 compliant by checking if. Cheques not complying with cts2010 standards will be cleared at less frequent intervals i. For the past 6 months, rbi has been announcing several times saying noncts2010 compliant cheques would be valid up to specific period. The threemonth validity will apply for all cheques and drafts dated 1 april 2012 or later.
Will the banks automatically send new cheque books or one has to ask for it. I have a couple of bank accounts with checkbook facility. Also what is the plan, in terms of timeline, to implement the same in india. Therefore, we recommend you to replace your noncts2010 cheque book with a new cheque book at the earliest. Incase the cheque book you currently have is not cts2010 compliant as per the above features we request you to immediately order a new cheque book. First and foremost, many thanks goes to axis bank, india for providing helpful information. Cts cheque clearance has indian banking moved ahead or. Please look for the letters cts2010 printed perpendicularly on the cheque leaf near the perforation on the left side as shown in the image. Noncts2010 complaint cheques valid up to jul20how does this impact you. Important notification from rbi regarding cts2010 standard cheques. Banks shall not charge their savings bank account customers for issuance of cts 2010 standard cheques when they are issued for the first time. Cheques to only remain valid for 3 months from april 2012.
Cheque truncation system cts is a cheque clearing system undertaken by the reserve bank of india rbi for quicker cheque clearance. No clearance of noncts compliant cheques from january. It looks all the current cheque books will have to be replaced. It is extremely gratifying that our efforts towards providing. Get your non cts cheque book replaced immediately, it said. We would like to bring to your notice that reserve bank of india rbi has further updated its guidelines on standardisation of security features for cheque leaves referred to as cts2010. Photo copy of a valid cts compliant cheque will serve the purpose better for information to general public. Also, the bank shall close the account at its discretion after giving due notice to the customer. Just check, whether your existing cheque book is ctscompliant or you need to get a new ctscomplaint cheque book issued before 31st december 2012. Ensure you use a cts 2010compliant cheque, and know the types of.
If your cheque book is issued prior to august 2011, you are requested to indent for a new cheque book to avoid any inconvenience. You need to apply in your bank for the same and it is available free of cost. 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. Validity period of cheque, draft, pay order, bankers. Cheque book issued till 04 november 2012 is noncts compliant is my cheque cts compliant. 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. Noncts compliant cheques shall not be processed for clearing with effect from january 1, 2019, pnb said in a notification.
Revised validity period of cheques, drafts, pay orders. 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. We would like to inform you that we have been issuing cts2010 compliant cheque books since april 2011. Cheque truncation system cts cheque printing software. Noncts cheques may face further clearance delay from may 1. It is illegal to issue a blank or post dated cheque. Cheque books of these banks valid only till december 31, 2017. 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. Today, we are proud to say that we are well on our way towards that goal.
With cts, the cheque will be scanned upon deposit and its electronic image, instead of the physical cheque, will. Important message cts 2010 regulation applicable to cts. You must obtain a cts2010 compliant cheque book on or before 31st march 20. If these features are present in your cheque book, it is a cts compliant one. As the term proposes, truncation is the course of discontinuing the flow of the physical cheque in its way of clearing. Cheque books of these banks valid only till december 31. Standardisation and enhancement of security features in. Sbi, hdfc, pnb, icici, bob, other bank customers these to become invalid non cts cheques used by customers of all banks including state bank of india sbi, hdfc bank, icici bank, bank of baroda, punjab national bank and others will become invalid from january 1. Please identify if your existing citibank account cheque book is cts2010 compliant. Cts 2010 standard cheques will be cleared on all working days. Cheque book issued prior to december 2010 is noncts compliant savings treasure accounts. Post this deadline, all magstripe based cards will be blocked. Cts has been implemented in new delhi, chennai and mumbai with effect from february 1, 2008, september 24, 2011 and april 27, 20 respectively. After migration of the entire cheque volume from micr system to cts, the traditional micrbased cheque processing has been discontinued across the country.
How to identify my cheque book cts2010 standard compliant or not. Cheque books of the five of state bank of india sbis erstwhile associate banks that are now part of indias largest bank, as well as those of bharatiya mahila bank, will not be valid from the. If you are still in possession of nonctc cheque books, then it is in your own interest to get those replaced with cts2010 standard cheque. Just check, whether your existing cheque book is cts compliant or you need to get a new cts complaint cheque book issued before 31st december 2012. Will my old cheques that are not cts2010 still work. Bank customers do not need to discard their noncts 2010 standard cheque books in a hurry to get their multicity cts2010 standard cheque leafs. Validity of cheques, drafts cut to 3 months times of india. However, banks may continue to follow their existing policy regarding cheque book issuance for additional issuance of cheques, in adherence to their accepted fair practices code. Sbi has said that the cheque books of these banks will not be valid after december 31. Non cts cheque bounce valid in march 2018 answered by expert chequebounce lawyer. Burgundy savings account burgundy salary account pension savings account trust savings account. Cheque truncation system cts explained bankexamstoday. Ensuring the use of 100 % cts2010 compliant cheques.
Non cts cheque bounce valid in march 2018 free legal advice. Since our bank has rolled over to 100% cbs, we shall provide the speed clearing service. You may be using a physical cheque book, but at the backend, banks. It is now mandatory for banks to strictly issue standardised and enhanced new format of cheques called cts2010.
All banks providing cheque facility to their customers have been advised to issue only cts2010 standard cheques. All chequebooks issued by the bank after aug 2011 are cts 2010 compliant. Cheque truncation system cts is an imagebased cheque clearing system implemented by all banks in singapore for sgd and usd cheques. Now, old cheque is valid up to july 31 goodreturns. For such case, the validity period will be clearly printed on the. Check your current cheque book is it valid new cts. You will not be able to use your old cheque books starting 1 january 2014.
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. Never make a mistake when using cheques again with this simpletofollow tutorial from emirates nbd. In case if your cts 2010 cheque book, you must obtain a new cts complied cheque book, and surrender the noncompliant one to the bank. Instead of this an electronic image of the cheque is transferred with vital essential data.
Here it seems you are asking about a cheque which is signed but not dated and no other details are filled in. I am not really sure whether the cheques are rbi cts2010 compliant. Cts 2010 compliant cheques latest breaking news, pictures, videos, and special reports from the economic times. Chequebook definition and meaning collins english dictionary. Refer to section 6 of negotiable instruments act and s. Banks will have to mention the threemonth validity on cheques and drafts issued from the next financial. My cheque book is not cts2010 compliant, what to do.