Every account holder must deposit their non cts cheques and cheque books in their respective branch and get new cheque leaves or books as per the new cts 2010 standard. Cheque books issued, by the bank, on or after 1st january 2012 are cts 2010 standard compliant. The information technlogy act,o 2000 for recognition of images as valid instrument for payment by the drawee banks. Cheques not complying with cts 2010 standards will be cleared at less frequent intervals i. Rbi new cheque cts 2010 guide line standardization and enhancement of security features in cheque formsmigrating to cts 2010 standards a. The cheque truncation system cts is a process of stopping flow of physical cheque in which an electronic image of the instrument is presented when it comes. Everything you need to know about cts 2010 cheques. Noncts cheques may face further clearance delay from may 1. Cts 2010 standard cheques will have letters cts 2010 printed vertically on the cheque leaf near the perforation on the left side as shown in the image below. Normally giving a blank cheque means, handing over a cheque which is. Important notification from rbi regarding cts 2010 standard cheques. If you have ordered your cheque books recently, say, a month ago, you may already have the new cheque leaves with you.
Rbi guidelines on cts2010 cts is an abbreviation for cheque truncation system. Banks, customers go slow in adopting new cheque book the. What is the meaning of material alteration in a cheque. Please identify if your existing citibank account cheque book is cts 2010 compliant. As the term proposes, truncation is the course of discontinuing the flow of the physical cheque in its way of clearing. Banks have been asked to ensure all cheques are compliant with cts2010 standards by april 1, 20. For any change in the payees name, courtesy amount amount in figures or legal amount amount in words, etc. Validity factors leading to rejection of cheque at initial stages of cheque is determined by multiple factors. Yes, as per the new guidelines provided by rbi reserve bank of india all indian banks should follow cts 2010 cheque formats, and virtual splat has already taken care about this rule. The reserve bank of india has extended validity of old cheque book non cts 2010 standard up to july 31, 20. Please note that non cts 2010 standard cheques will not be valid after december 31, 2012. All cheques issued by banks including ddspos with effect from the date of this circular shall necessarily conform to cts2010 standard, the circular said. Noncts2010 complaint cheques valid up to jul20how does.
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. Non cts cheque bounce and validity in 2016 answered by expert cheque bounce lawyer. Indian bank charges rupees thirty for one cts2010 cheque book, from customers. How to identify my cheque book cts2010 standard compliant.
Sep 14, 2015 the number 2010 in cts2010 is because the guidelines for cts came up in the year 2010. For the past 6 months, rbi has been announcing several times saying non cts 2010 compliant cheques would be valid up to specific period. If you are holding the non cts 2010 standard cheque books cheque leaves, you are requested to surrender the same at the base branch where you are having your account and apply for new cts 2010 standard cheque book. Cheque books not containing cts2010 cheque leafs are called noncts cheque books. Cts2010 standard cheques will have letters cts2010 printed vertically on the cheque leaf near the perforation on the left side as shown in the image below. All banks providing cheque facility to their customers have been advised to issue only cts 2010 standard cheques. Nov 29, 2012 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. Will the banks automatically send new cheque books or one has to ask for it. Printing of mccs is now fully in conformity with cts 2010 standards. Now, old cheque is valid up to july 31 goodreturns.
Cts 2010 introduced some standards and security features such as quality of paper, watermark, filed placements, banks logo in invisible ink, void pantograph, etc. Details here sbi has said that the cheque books of these banks will not be valid after december 31. It act, 2000 and the bankers book evidence bbeact, 1891, the legal framework. Printers name with cts 2010 in left side of cheque. Can you please mail me a scanned copy of the latest cheque leaf that is compliant with cts 2010. 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 transmitted electronically. Cheque truncation system cts is a cheque clearing system undertaken by the reserve bank of india rbi for quicker cheque clearance. 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. In case your cheque is not cts2010 compliant, you can request for a new cheque book by logging in to citibank online. To help you identify whether the cheque book you currently hold is cts compliant or not, you can look for the following features. So you should immediately indent a new cts 2010 standard compliant cheque book from your bank.
You can now print your cheque in cts 2010 with out any. All the 14 lcpcs are printing and issuing mccs in respect of branches linked to them. Instead of this an electronic image of the cheque is transferred with vital essential data. Cheque is a very common form of negotiable instrument. If initially date was not put then of course you can put current date when. It is now mandatory for banks to strictly issue standardised and enhanced new format of cheques called cts2010.
Banks shall not charge their savings bank account customers for issuance of cts2010 standard cheques when they are issued for the first time. It looks all the current cheque books will have to be replaced. When a customer deposits a cts2010complied cheque, the bank can. Enhancement of security features in cheque forms migrating to cts 2010 standards as covered in annex xa and other circulars from time to time. Rbi had asked banks to replace non cts 2010 compliant cheque books, but most banks are understood to be going slow. Nov 11, 2012 most banks are now issuing cts cheque truncation system 2010 cheque books only and are collecting unused cheque leaves of the non cts 2010 cheque books. All the cts2010 cheque should be clean, image friendly and over writing is not accepted because the cheque will be cleared through image based clearing system. It is illegal to issue a blank or post dated cheque. If these features are not present in your cheque book, than your cheque book is not a valid cts 2010 standard compliant. Also all the current circulated cheques will be replaced within 31st march, 20. The number 2010 in cts 2010 is because the guidelines for cts came up in the year 2010. 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. Non cts cheques may face further clearance delay from may 1. Cheque frauds can be greatly reduced with introduction of minimum security features prescribed under cts standards 2010, such as.
Many banks have still not asked their customers to surrender the noncts 2010 cheque books to reflect the change, a crosssection of bankers. However effective january 1, 2014, there would be likely delay in realisation of such non cts 2010 standard cheques, as these cheques will be cleared at less frequent intervals. Please sign above is mentioned on bottom right of the cheque. 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 books. Your old cheques will remain valid till march 20 business today. Photo copy of a valid cts compliant cheque will serve the purpose better for information to general public. At present, when you issue a cheque to someone, he has deposit the cheque in his bank to get credit.
The clearing timings of non cts session are covered in annex xb 1. Cheque truncation system 2010 or, cts 2010, is a new standard with uniform cheques with additional safety features for faster clearances through digital sharing of an image and relevant details of cheques between banks. If you have ordered your cheque books recently, say, a month ago, you may already have the new cheque. The benchmark prescriptions are collectively known as cts 2010 standard. Cheque books of these banks valid only till december 31. The word cts2010 must be printed on the left hand side of the cheque near perforation. Cheque book definition and meaning collins english dictionary. Then this cheque moves physcially from his bank to your bank which involves a lot of time and risk. If your cheques are not cts 2010 complaint, there can realisation delays, as they will be cleared at less frequent intervals.
Non cheque truncation system cheques valid until july 19 mar, 20, 05. For example, cheques of all banks would have the watermark at the. A pantograph which shows voidcopy while taking photocopy of the cheque below the account number. So it is necessary for all to understand how your new cheque format looks like. Nov 16, 2017 cheque books of these banks valid only till december 31, 2017.
Words cts 2010 printed on the left hand side of the cheque leaf near perforation. Important message cts 2010 regulation applicable to. Cheque book issued till 04 november 2012 is non cts compliant is my cheque cts compliant. Banks would do better if they display new cheque format in their branch.
According to banking experts, cts2010 cheques have. Dec 23, 2012 it is now mandatory for banks to strictly issue standardized and enhanced new format of cheques called cts 2010. The new cts standard enables banks to convey the cheque as an image to the clearing house rather than in its physical form. If the above letters are present, your cheque book is cts2010 compliant 5. Get your non cts cheque book replaced immediately, it said. Cheque printing software indian banks cts 2010 functional.
Just check, whether your existing cheque book is ctscompliant or you need to get a new ctscomplaint cheque book issued before 31st december 2012. Cts 2010 standard cheques will be cleared on all working days. 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. Generally cheques are valid upto a certain period currently 3months from the date on cheque. Please look for the letters cts 2010 printed perpendicularly on the cheque leaf near the perforation on the left side as shown in the image. Cheque truncation system 2010 or, cts2010, is a new standard with uniform cheques with additional safety features for faster clearances. 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 books latest by december 31.
Incase the cheque book you currently have is not cts 2010 compliant as per the above features we request you to immediately order a new cheque book. All chequebooks issued by the bank after aug 2011 are cts 2010 compliant. Rbi extends deadline for withdrawing noncts 2010 cheques. What does cts 2010 noncompliant cheque mean in icici.
All the cts 2010 cheque should be clean, image friendly and over writing is not accepted because the cheque will be cleared through image based clearing system. Unless most means 95% or more, i suspect that the sheer volumes. Cts2010 is a benchmark for standardisation of cheques issued by banks across the country. I had to give the first page of my old cheque book and they took my request. As per the revised guidelines of rbi the validity of noncts compliant cheques have been extended till 31st a july 20. Cheque book definition and meaning collins english. Jan 01, 20 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. A copy of cheque, cts 2010 compliant may please be used in explaining the requirements to be filled for the cheque leaves that can be used for transaction from january 01, 20 onwards. Under the cts system, the physical movement of cheques between banks will be elminated. How do i know if my present cheque book is cts2010 standard compliant. Cheque issuing banks shall make all efforts to withdraw the non cts 2010 standard cheques in circulation before the extended timeline of 31 july. The number of cheque leaves in the multi city payable at par cts 2010 standard cheque books will be as under. All cheques issued by banks including dds pos issued by banks with effect from the date of this circular shall necessarily conform to cts 2010 standard. The branch address and ifsc code should be on the top left side of the cheque 2.
The rbi has extended the deadline of march 31 till july 31 for issuance of new cts cheque books books and withdrawal of all. If these features are present in your cheque book, it is a cts compliant one. We would like to inform you that we have been issuing cts 2010 compliant cheque books since april 2011. Also already circulated cheques will be replaced within 31st december 2012. 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. Rbi extends deadline for noncts cheques till july 31. Noncts cheques may face further clearance delay from may. First, very soon the banking system will fully adopt the cheque truncation system cts 2010 standards. In case you have issued non cts 2010 standard post dated cheques pdcs. As of now the banks in india are using different formats for their cheque leaves mainly for branding, identification, security features etc. 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. Here it seems you are asking about a cheque which is signed but not dated and no other details are filled in.
Dec 03, 20 as per the recent rbi guidelines, checks which are not as per the cts 2010 standards will continue to be valid and accepted. Cts 2010 compliant cheques latest breaking news, pictures, videos, and special reports from the economic times. You must obtain a cts2010 compliant cheque book on or before 31st march 20. Does your software supports cts 2010 cheque formats. Mar 03, 2018 cts 2010 compliant cheque means, the cheque adheres to the cheque truncation system which started in 2010 in india, as per the guidelines of rbi. Sbi customers can deposit their noncts cheque in their respective branch and get free new cts2010 standard chequebook. Please note that non cts 2010 standard cheques will not be valid. Standardisation and enhancement of security features in. 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 transmitted. Features of cts2010 standard chequects cheque truncation. Cts2010 compliant cheque will have the printer details along with the text cts2010 printed on the extreme left hand of the cheque leaf. This means your cheque will not travel physically from one location to another, but an electronic image will be transferred for the bank where the cheque is deposited to the drawee bank. No any cheque that is a non cts cheque will be returned by the bank as not a valid instrument under ni act. Sep 03, 2012 it is now mandatory for banks to strictly issue standardised and enhanced new format of cheques called cts 2010.
The cts2010 eliminates the current practice of physically presenting a cheque to the payee bank, thereby substantially reducing the time for cheque clearance. Non cts compliant cheques shall not be processed for clearing with effect from january 1, 2019, pnb said in a notification. If your cheque book is issued prior to august 2011, you are requested to indent for a new cheque book to avoid any inconvenience. That means, the physical transportation of checks will stop somewhere and instead, it gets converted to digital form and the transmission continues in digital form. If you have a savings bank account or current account in a bank, you can issue a cheque in your own name or in favour of others, thereby directing the bank to pay the specified amount to the person named in the cheque. How to identify my cheque book cts2010 standard compliant or. A cheque book is a book of cheques which your bank gives you so that you can pay for. Cheque book issued prior to december 2010 is non cts compliant savings treasure accounts. If you have any postdated cheque for a datemonth after 1 january 20, ask the personinstitution concerned to issue a cts 2010 cheque, as the old one will not be valid after 31 december. For the uninitiated, cts transforms cheque clearing from a paperintensive. Apr 29, 2014 non cts cheques may face further clearance delay from may 1. Please look for the letters cts2010 printed perpendicularly on the cheque leaf near the perforation on the left side as shown in the image. How is cts 2010 will be different from earlier system of cheque clearance.
Jun 25, 20 non cts 2010 complaint cheques valid up to jul20how does this impact you. Rbi extends deadline for non cts cheques till july 31 mumbai, mar 19. 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. 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. Watermark cts india to be visible cheque is held against any light. First and foremost, many thanks goes to axis bank, india for providing helpful information.
Cheque issuing banks shall make all efforts to withdraw the noncts2010 standard cheques in circulation before the extended timeline of 31 july 20 by creating awareness among customers through sms alerts, letters, display boards in branchesatms, logon message in internet banking, notification on the website etc, rbi said. No clearance of noncts compliant cheques from january. Bank invites competitive rates for printing of micr cheque books, as per the quantity mentioned in annexure i these cheques are to be printed as per rbi guidelines conveyed vide circular number. I agree that bank verification of cheque validity will become a necessary step. Mar 20, 20 non cts 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.
Bank customers do not need to discard their non cts 2010 standard cheque books in a hurry to get their multicity cts 2010 standard cheque leafs. Meaning, pronunciation, translations and examples log in dictionary. Check your current cheque book is it valid new cts. How to identify my cheque book cts2010 standard compliant or not. Rbi extends cheque upgradation deadline till march next year 14 dec, 2012, 01. 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 cts 2010. If your cheque book has been indented prior to 1st january 2012, you are requested to indent for new cheque book at the earliest to avoid any inconvenience. One of the mandatory features of the cts 2010 cheque format, prescribed by rbi, is that no changes corrections should be carried out on the cheques other than for date validation purposes, if required. My cheque book is not cts2010 compliant, what to do. Will my old cheques that are not cts2010 still work. Cheque truncation system cts, an online imagebased clearing system for faster clearing of cheques in india. Procedural guidelines for cheque truncation system cts. Everything you need to know about cts 2010 cheques banking.