Bank Of Baroda Will Stop Cheque Frauds With This New, Compulsory System: What Is Positive Pay?
In order to circumvent cases of fraud due to the payment made through cheques, ‘Positive pay confirmation’ shall be made compulsory by Bank of Baroda from 1st June 2021.
The customers shall now just have to reconfirm the details of the cheque in case the amount is more than ?2 Lakh.
The website of BOB reads that advance intimation of cheques are requested to be provided by the customers so that High-Value cheques are passed without contacting the customer. Lets have a look at what exactly is Positive Pay.
What is ‘Positive Pay’?
This concept revolves around reconfirming the key details of high value cheques. Here, details related to the cheque presented for clearings, such as the cheque number, cheque date, payee name, account number, amount, and other details are submitted electronically by the issuer against a list of cheques previously authorized and issued by the issuer.
While the customers of Syndicate Bank have been told to update their IFSC code by 30 June 2021, the customers of Canara Bank have been informed that IFSC codes shall change on 1 July 2021.
New Cheque Payment Rules Post 01.06.2021:
- A cheque of ?50,000 and above can be confirmed.
- No Modification or deletion of a registered confirmation in any mode can take place post submitting the data to the server provided by the National Payment Corporation of India. However, before its presentment/payment in CTS clearing or at the counter, customers can stop the payment of issued cheques at any point of time.
- However, customers can stop the payment of issued checks at any time before the launch / payment at CTS cleaning or over the counter.
- A check will be passed if the key details provided are the same as the actual check submitted for CTS usage and otherwise it is ready to. sufficient funds, signature similarity etc.
- Submitted / verified confirmations up to 6pm (daily) for any channel / mode will only be considered in the next cancellation process. After that, all the credentials will be processed for future removal. Branch Verification can be provided during normal office hours of the relevant branch. Rest all channels / channels will be available 24×7 to provide Positive Pay guarantee.
- The reference number (registration} will be allocated via SMS to each registered mobile number for successful delivery of a Positive Pay Certificate.
- Customers should ensure that they keep sufficient funds until the delivery / payment of checks or checks issued verified or not.
- Confirmation must be provided by any one means – Mobile Banking, Net Banking, Branch visits, SMS, Call Center
- Older tests (3 months older from the date of confirmation) will not be accepted.