Cheques of this bank will bounce if you don’t do this

Mumbai: public sector bank in the country, Bank of Baroda (BoB)  has changed its cheque payment systems.   Customers of BOB will now be required to send some of their most important cheques to the bank via electronic means for authentication before they can be cleared. The information transmitted across is then double-checked using the Check Truncation System (CTS).

‘As per RBI directions, Positive Pay (CPPS) mechanism would be mandatory with effect from 01.02.2022 for Rs. 10 lakh and above issued cheques’, said BoB in a statement.

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RBI has launched positive Pay  to prevent any fraudulent or unsolicited transactions in a customer’s financial transactions. The bank verifies the details of large-value cheques in this section. This is accomplished by checking key information such as the check number, amount, and account number.

All account holders generating cheques for amounts of Rs 50,000 and above will be able to use it if their bank allows it. Banks have the right to make it  mandatory for cheques for Rs 5,00,000 or more.