How many days cheque clear

The system was started in the National Capital Region NCR on a pilot basis in , and the central bank kept expanding it to other major cities. In Chennai and Mumbai, it was implemented in September and April respectively. In the older system, cheques that the customer presents are sent to the clearing house, then sorted and the physical copy is sent to the drawee branches.

Once this process is complete, banks release credit to the customer. Never miss a story! Stay connected and informed with Mint. Download our App Now!! Collecting banks have to ensure that such cheques are not accepted for presentation in CTS. It is not applicable to cheques cleared under other clearing arrangements such as MICR clearing, non-MICR clearing, over the counter collection for cash payment or direct collection of cheques outside the Clearing House Arrangement.

Cheques also. Upon receipt of RBI instructions the Bank would modify its systems suitably. The Clearing House has ECCS software of Clearing House module, which processes the data received from the member banks and generates Bankwise report and settlement report. The settlement bank makes settlement, based on the ECCS report in accounts maintained with the bank. Cheques are generally valid for 6 months from the date written on the cheque unless a shorter period is otherwise stated on the cheque.

The purpose is to collect the cheque amount for crediting into your account. This process is called cheque clearing. If you don't have enough money in your account, your cheque will be rejected.

You may have to pay fees and charges, including:. Post-dated cheques cannot be cleared immediately. Processing charges will apply if the cheques are returned. Tell your bank immediately. You can only stop payment of an issued cheque if it has not been cleared or cashed out. An administrative fee may be charged by the bank. Cheques paid in via alternate methods than a branch will have different cut-off times.

Timescales for bulk cheque schemes may be different. Please contact your relationship team for further information. We're committed to helping British businesses grow and develop by giving them the support they need — our Business Charter will tell you more.

Businesses, new and established, will face fresh challenges and opportunities. Our comprehensive range of online business resources and tools are designed to help. Internet Banking puts you in control of your finances, giving you time to concentrate on what is important - your business.

Calls may be monitored or recorded in case we need to check we have carried out your instructions correctly and to help improve our quality of service. The products and services outlined on this site may be offered by legal entities from across Lloyds Banking Group, including Lloyds Bank plc and Lloyds Bank Corporate Markets plc.