- What is Cheque Truncation System or CTS 2010 :
The full form of CTS is Cheque Truncation System. RBI has decided to launch this system and all banks across India are required to follow RBI guidelines in this regard. As per RBI guidelines, now all banks have to issue cheques conforming to the CTS 2010 standards with uniform features.
2. How is CTS 2010 will be different from earlier system of cheque clearance?
Under the CTS system, the physical movement of cheques between banks will be elminated. At present , when you issue a cheque to someone, he has deposit the cheque in his bank to get credit. Then this cheque moves physcially from his bank to your bank which involves a lot of time and risk. Now under CTS, instead of physical movement of the cheque, an electronic image of the cheque will be transmitted to the drawee branch / bank. The presenting bank will retains the physical cheque. Along with the electronic image, certain key relevant information is also transmitted, such as date of presentation, presenting bank details, data on the MICR band.
3. What are the features of cheques issued under CTS ? :
(a) Cheque printer details: This is printed on the extreme left hand side of the cheque. The printer details along with the words ‘CTS-2010’ is mentioned along the area where you tear off the leaf from the cheque book.
(b) Rupee symbol: The new symbol of the Indian rupee is printed beside the area where the amount in figures needs to be written.
(c) Details of the bank and its logo: The bank details and its logo are printed on the face of the cheque. However, it is printed in invisible ink.
(d) Signature space indicator: The words ‘please sign above’ are mentioned indicating the space where you will need to sign the cheque.
(e) VOID pantograph: This is a wavelike design, which is visible to the naked eye and seen below the area where the account number is printed.
No comments:
Post a Comment