Bank of Baroda's new cheque payment rule from next month: Key things to know
PremiumBank of Baroda customers have to ensure maintain sufficient funds up to the presentment/payment of the issued cheque/s either confirmed or not
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PremiumIf you are a customer of Bank of Baroda, then you must note that from 1 June 2021, Bank of Baroda will make ‘Positive pay confirmation’ mandatory for its customers to prevent incidents of fraud during payments made through cheques. The bank added that the customers will only have to make the reconfirmation of cheque details when the amount to be processed is more than ₹2 Lakh.
“Customers are requested to provide us advance intimation of cheques issued to the beneficiaries so that Bank at the time of presentment in CTS clearing can pass the High-Value cheques without contacting to the customers," mentions Bank of Baroda on its website.
Bank of Baroda's new cheque payment rule from next month:
- A cheque of ₹50,000 and above can be confirmed.
- There is no option for Modification or deletion of a registered confirmation in any mode because modification/deletion could not take place once the data will be submitted to the server provided by the National Payment Corporation of India. However, customers can stop the payment of issued cheques at any point of time before its presentment/payment in CTS clearing or at the counter.
- The cheque will be passed if provided key details matches with the actual cheque presented in the CTS clearing and if otherwise is in order viz. sufficient funds, Signature match etc.
- Confirmations submitted/verified up to 6 pm (daily) through any channel/ mode will only be processed for the next clearing session. Afterwards, all the confirmations will be processed for subsequent clearing session. Confirmation through Branches can be provided during the normal business hours of the respective Branch. Rest all the modes/channels will be available 24x7 to provide the Positive Pay confirmations.
- A reference (registration} number will be shared through SMS on the registered mobile number for each of the successful submission of Positive Pay confirmation.
- Customers have to ensure maintain sufficient funds up to the presentment/payment of the issued cheque/s either confirmed or not.
- Confirmations must be provided through any one mode only- Mobile Banking, Net Banking, Branch visit, SMS, Call Center
- Stale cheques (3 months older from the date of confirmation) will not be accepted.
What is ‘Positive Pay'?
The concept of Positive Pay involves a process of reconfirming key details of high value cheques. Under this process, the issuer of the cheque submits electronically details related to the cheque presented for clearings, such as the cheque number, cheque date, payee name, account number, amount, and other details against a list of cheques previously authorized and issued by the issuer.
Meanwhile, Canara Bank informed its customers that the IFSC codes of its branches will change on 1 July 2021. Whereas the customers of Syndicate Bank have been told to update their IFSC code by 30 June 2021.
