Featured

RBI Introduces ‘Positive Pay’, A System To Prevent Cheque Fraud; Know How It Works

By
OB Bureau

Mumbai: The ‘Positive Pay’ system for cheque transactions above Rs 50,000 came into force on January 1. The Reserve Bank of India (RBI) has decided to implement it to enhance safety of cheque-based transactions.

So what is the Positive Pay system?

It’s a process of reconfirming important details of large-value cheques, The Quint has explained in an article. The issuer submits the cheque electronically — through SMS, mobile app, internet banking, ATM — certain details of that cheque like date, name of beneficiary, name of payee, amount, etc to the drawee bank.

The details are cross-checked with the presented cheque by Cheque Truncation System (CTS).

If any discrepancy is noticed, CTS flags the drawee bank and presenting bank, who will then take redressal measures.

RBI Governor Shaktikanta Das, while announcing the new system on August 6 this year, had said that it will enhance security and reduce instances of tampering cheque leaves.

The system will be enabled for all account holders who issue cheques for amounts of Rs 50,000 and above.

Availing this facility is the choice of the account holder, but banks might make it mandatory for cheques amounting to Rs 5,00,000 and above.

Banks have been advised to create awareness among customers on the features of Positive Pay System through SMS alerts, display in branches, ATMs and through their website and internet banking.

OB Bureau

Recent Posts

New Artist To Play King Kansa Role During Dhanu Yatra In Odisha’s Bargarh

Bargarh: A new artist will be selected to play the mythological character King Kansa during…

November 22, 2024

Shah Rukh’s Daughter Suhana Khan Brutally Trolled For Vivo Ad [Watch]

Mumbai: Suhana Khan will be making her Bollywood debut with ‘King’ along with her superstar…

November 22, 2024

Badshah Comes Out In Support Of Diljit Dosanjh In Alcohol Controversy

New Delhi: After Diljit Dosanjh called out the double standards of Telangana government for banning…

November 22, 2024

World War 3 Has Begun, Says Ukraine’s Former Military Chief

New Delhi: Recent actions and counter-actions in the Russia-Ukraine conflict have pushed the world to the…

November 22, 2024

3 Arrested With Fake IPS Officers’ Uniforms, Identity Cards In Odisha’s Balangir

Balangir: Three persons were arrested and fake IPS officers’ uniforms along with fake identity cards…

November 22, 2024

‘I Want To Talk’: Twitterati Lauds Abhishek Bachchan, Say He Is Better Than Amitabh

Mumbai: Abhishek Bachchan’s highly-anticipated film ‘I Want To Talk’ released in theatres on Friday, and the…

November 22, 2024

Cash-For-Vote Row: BJP Leader’s Defamation Notice Against Rahul Gandhi, Kharge

New Delhi: Accused of giving cash to secure votes ahead of election day in Maharashtra,…

November 22, 2024

CM Mohan Majhi Attends ‘Odisha State Day’ Celebrations At IITF In Delhi

Bhubaneswar: Chief Minister Mohan Charan Majhi attended the ‘Odisha State Day Celebrations’ at the 43rd…

November 22, 2024