Bank of Baroda's new cheque payment rule from next month: Key things to know
Bank of Baroda customers have to ensure maintain sufficient funds up to the presentment/payment of the issued cheque/s either confirmed or not
Bank of Baroda customers have to ensure maintain sufficient funds up to the presentment/payment of the issued cheque/s either confirmed or not
If 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:
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.