Please note that when you receive or issue a cheque, if. Rbis new circular for noncts cheques june 2018 youths area. The rbi has extended the deadline of march 31 till july 31 for issuance of new cts cheque books books and withdrawal of all old format cheques, says a circular sent to bank heads. All chequebooks issued by the bank after aug 2011 are cts 2010 compliant. Mar 18, 20 cheque issuing banks shall make all efforts to withdraw the non cts 2010 standard cheques in circulation before the extended timeline of july 31, 20 by creating awareness among customers through sms alerts, letters, display boards in branchesatms, logon message in internet banking, notification on the website etc. Mr,x having non cts cheque now he is blackmailing more money after paid more also. 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. Bank customers do not need to discard their noncts 2010 standard cheque books in a hurry to get their multicity cts2010 standard cheque leafs. Jan 12, 20 8 boxes to write the date in ddmmyyy format.
Dec 19, 2018 so, better hurry up if you havent got your old cheque books replaced with cts2010 standard cheque books. Mar 28, 2018 april 14, 2015 dear all welcome to the refurbished site of the reserve bank of india. It is clear, thus, that 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. If you havent switched to cts cheques, you have 4 more months. The reserve bank of india has extended validity of old cheque book non cts2010 standard up to july 31, 20. However, from january this year, the clearing arrangement for the noncts instruments was reduced to three sessions a week. If your cheque book is issued prior to august 2011, you are requested to indent for a new cheque book to avoid any inconvenience. This is expected to be reduced to two sessions a week monday and friday from may 1. A new circular, dated 26 june 2018, has been issued by reserve bank of indiarbi to all the banks regarding processing of noncts cheques.
You should ask for a new cts compliant cheque from the drawer. Cheque truncation system cts is the system in which the flow of physical movement of the cheque will be eliminated in the cheque clearing process. Currently, noncts cheques are processed once in a week i. You can also request for a new cheque book through dbs atm or internet banking. Around three months ago, the reserve bank of india had issued a guideline for non.
Cheque issuing banks shall make all efforts to withdraw the noncts2010 standard cheques in circulation before the extended timeline of 31 july. Instead, an electronic image of the cheque will be sent to paying branch through the clearing house along with relevant information like data on the micr band, date of presentation. A new circular, dated 26 june 2018, has been issued by reserve bank of indiarbi to all the banks regarding processing of non cts cheques. So, the validity of non cts cheques is again extended, this time upto 30th april 2014. What should i do if i receive a non cts compliant cheque. As banks are advised to comply with cts2010 standard and security printers also do not print noncts cheques, the number of noncts cheques are declining continuously. If initially date was not put then of course you can put current date when.
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. However, account holders can instruct the bank to shorten or lengthen the cheques expiry and actual the duration for the cheques validity will be printed on the cheque itself. Refer to section 6 of negotiable instruments act and s. Just check, whether your existing cheque book is ctscompliant or you need to get a new ctscomplaint cheque book issued before 31st december 2012. December 31st is the last day of using noncts cheques for account holders of all banks including sbi. No longer will you be able to use noncts cheques and sbi customers will not be able to do so from december 12, while other bank customers will not be able to use noncts cheques from january 1. Cheque books of these banks valid only till december 31. Sep 14, 2015 cheque truncation system cts is the system in which the flow of physical movement of the cheque will be eliminated in the cheque clearing process. Cts 2010 compliant cheques latest breaking news, pictures, videos, and special reports from the economic times. Cts is the abbreviation of cheque truncated system, which in simple terms means stopping the physical transport of cheques midway. Noncts cheques may face further clearance delay from may 1. The cheque truncation system cts is an online imagebased cheque clearing system implemented on 12 july 2003. Nov 16, 2017 request new cheque book by december 31, 2017 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. The validity of the cheque is from the date of the cheque and not from the date when the cheque book was issued by the bank to the account holder.
Banks would do better if they display new cheque format in their branch. Get your noncts cheque book replaced immediately, it said. Check your current cheque book is it valid new cts. This video explains the validity period of cheque and amount of cheque. In case you have issued non cts 2010 standard post dated cheques pdcs. Apr 29, 2014 non cts cheques may face further clearance delay from may 1. Validity period of cheque, draft, pay order, bankers.
If the cheque book is not with cts 2010 cheque leafs, they are referred to as non cts cheque books. The rbi has extended the deadline of march 31 till july 31 for issuance of new cts cheque books books and withdrawal of all old format cheques, says a. The validity of cheques of former associate banks has been extended till 31st december, 2017. If you have availed a home or auto loan and issued postdated cheques instead of opting for direct debit. Can you please mail me a scanned copy of the latest cheque leaf that is compliant with cts 2010. Get your non cts cheque book replaced immediately, it said. All residual noncts2010 cheques with customers will continue to be valid and accepted in all clearing houses including the cheque truncation system cts centres for another four months up. Cheque truncation system basically helps in faster clearance of the cheques in the banking records. 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. Noncts cheques may face further clearance delay from may. In case your cheque is not cts2010 compliant, you can request for a new cheque book by logging in to citibank online. December 31st is the last day of using noncts cheques for account holders of all banks including sbi state. 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.
Cts has been implemented in new delhi, chennai and mumbai with effect from february 1, 2008, september 24, 2011 and april 27, 20 respectively. Cheque truncation system cts is a cheque clearing system undertaken by the reserve bank of india rbi for quicker cheque clearance. Validity of a cheque issued from an old cheque book of ten. Cheque truncation system cts or imagebased clearing system ics, in india, is a project. Request new cheque book by december 31, 2017 account holders of the erstwhile associate banks can now apply for new cheque books till december 31. Cheque truncation system cts cheque printing software. No clearance of noncts compliant cheques from january. Blank dated but signed non cts cheque with ac payee experts, ive x blank dated non cts idbi cheques for y lakh amounts each, are duly signed and filledup except the dates. Photo copy of a valid cts compliant cheque will serve the purpose better for information to general public. Cheque issuing banks shall make all efforts to withdraw the noncts2010 standard cheques in circulation before the extended timeline of july 31, 20 by creating awareness among customers through sms alerts, letters, display boards in branchesatms, logon message in internet banking, notification on the website etc. Incase the cheque book you currently have is not cts2010 compliant as per the above features we request you to immediately order a new cheque book. Blank dated but signed noncts cheque with ac payee experts, ive x blank dated noncts idbi cheques for y lakh amounts each, are duly signed and filledup except the dates. Cts is the abbreviated form of cheque truncation system.
Important message cts 2010 regulation applicable to cts. You need to apply in your bank for the same and it is available free of cost. If you have ordered your cheque books recently, say, a month ago, you may already have the new cheque. As per the revised guidelines of rbi the validity of noncts compliant cheques have been extended till 31st a july 20. All banks that issue sgd cheques and local usd cheques are on cts. The reserve bank of india had issued a new guideline about cts cheques around three months ago. Currently, non cts cheques are processed once in a week i. 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. It looks all the current cheque books will have to be replaced. Thus, it is considered as the major landmark in the indian banking industry. Sbi, hdfc, pnb, icici, bob, other bank customers these to become invalid noncts 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. Cts 2010 standard cheques will be cleared on all working days. Rbi extends deadline for noncts cheques till july 31.
One, in addition to the default site, the refurbished site also has all the information bifurcated functionwise. If you have availed a home or auto loan and issued postdated. Validity factors leading to rejection of cheque at initial stages of cheque is determined by multiple factors. International helpline 91446685 4555 or your relationship manager to request for a new cheque book. So, better hurry up if you havent got your old cheque books replaced with cts2010 standard cheque books. Noncheque truncation system cheques valid until july. Important message cts 2010 regulation applicable to. So it is necessary for all to understand how your new cheque format looks like. And you must do it latest by december 31, 2018, if you dont want your cheques to.
The reserve bank of india has extended validity of old cheque book non cts 2010 standard up to july 31, 20. What should i do if i receive a non ctscompliant cheque. Please look for the letters cts2010 printed perpendicularly on the cheque leaf near the perforation on the left side as shown in the image. Validity of noncts 2010 cheques extended by another 3 months. 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. Non cts compliant cheques cheques not compliant to the cheque truncation systemcts 2010 standards will be cleared thrice a week only, until 30 april, 2014. A copy of cheque, cts2010 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. If you are still in use of nonctc cheque books, then it is in your own. Sbi customers can deposit their noncts cheque in their respective branch and get free new cts2010 standard chequebook.
Mar 20, 20 all residual noncts2010 cheques with customers will continue to be valid and accepted in all clearing houses including the cheque truncation system cts centres for another four months up. April 14, 2015 dear all welcome to the refurbished site of the reserve bank of india. Bank customers rbi new guidelines 2019 non cts cheques stop. Instead of this an electronic image of the cheque is transferred with vital essential data. Generally cheques are valid upto a certain period currently 3months from the date on cheque. Here it seems you are asking about a cheque which is signed but not dated and no other details are filled in. As banks are advised to comply with cts 2010 standard and security printers also do not print non cts cheques, the number of non cts cheques are declining continuously. If the above letters are present, your cheque book is cts2010 compliant 5.
Most banks have already stopped clearing non cts cheques since january 1, 2019. Cheque truncation system cts is a cheque clearing system undertaken by reserve bank of india rbi that aims at reducing the time involved in cheque clearing to one day. Non cts cheque bounce and validity in 2016 lawrato. No longer will you be able to use non cts cheques and sbi customers will not be able to do so from december 12, while other bank customers will not be able to use non cts cheques from january 1. The cheque truncation system cts is currently operational in india. All the banking participants, be it banks, or bank customers or loan companies or security printers or courier folks, were working overtime in the last couple of months, to be ready for the cts 2010 cheques from 010120. Also already circulated cheques will be replaced within 31st december 2012. Person a who issued this cheques to person b few years back in exchange of some money transfers from account of b to a.
Rbi to introduce panindia cts by sept 2020 to make cheque. 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. As the term proposes, truncation is the course of discontinuing the flow of the physical cheque in its way of clearing. Sep 03, 2012 it is now mandatory for banks to strictly issue standardised and enhanced new format of cheques called cts 2010. Instead, an electronic image is generated for transmission of the. The time taken in clearance is less and the process is even costeffective. It is now mandatory for banks to strictly issue standardised and enhanced new format of cheques called cts2010. Please contact your home branch for replacement with cts2010 standard cheques. You should ask for a new ctscompliant cheque from the drawer.
Similarly, punjab national bank in one of its advisories says. What is cheque defined about alteration and material alteration cts cheques. Will the banks automatically send new cheque books or one has to ask for it. Many banks have still not asked their customers to surrender the noncts 2010 cheque books to reflect the change, a. And the customers to this respect have been asked to get their noncts cheque book replaced and instead get the new cts2010 standard chequebook for free.
As per the rbi guideline, noncts cheque will become inivalid from 1 january. Cheques continue to be one of the prominent modes of payments in india, and the speedy cheque clearance cycle through cts will definitely. A reproduction of the sample cheque available on rbis website. Request you to make a note that non cts compliant cheques would not be accepted by banks for clearing post 31 july 20. Many banks have still not asked their customers to surrender the non cts 2010 cheque books to reflect the change, a crosssection of. Cts cheque latest breaking news, pictures, videos, and special reports from the economic times. After migration of the entire cheque volume from micr system to cts, the traditional micrbased cheque processing has been discontinued across the country. Now, old cheque is valid up to july 31 goodreturns. Effective from 1 january 2014, all banks are required to abide by new cheque book system. Cts2010 cheques have certain common security features and standardised field placements for enabling image based processing of. Jan 08, 2017 this video explains the validity period of cheque and amount of cheque. Jan 15, 2014 non cts compliant cheques cheques not compliant to the cheque truncation systemcts 2010 standards will be cleared thrice a week only, until 30 april, 2014. Aug 28, 20 28 august 20 if the date on the cheque has been put by the person who gave you the cheque, and if the cheque had been duly signed by him, then whether the cheque is of 10year old or 1 day old will have no bearing.
The usual period is 6 calender months unless it is a divident cheque which states on it that it is valid for 12 months or a dhss cheque, i think with only a 3 month validity, hope that helps. It is illegal to issue a blank or post dated cheque. Noncts compliant cheques shall not be processed for clearing with effect from january 1, 2019, pnb said in a notification. December 31st is the last day of using non cts cheques for account holders of all banks including sbi state bank of india, hdfc, punjab national bank, icici, bank. If the cheque book is not with cts2010 cheque leafs, they are referred to as noncts cheque books. These new cheque books shall have indian financial system code ifsc and magnetic ink character.