NEW DELHI: Punjab National Bank (PNB) has asked its customers to get their non-CTS compliant cheques replaced as these instruments will not be accepted for clearance in the banking system from January.
Non-CTS compliant cheques shall not be processed for clearing with effect from January 1, 2019, PNB said in a notification.
“Get your non-CTS cheque book replaced immediately,” it said.
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 for clearing.
This eliminates the cost of movement of physical cheques and reduces the time for clearance for better delivery of services to customers.
As per RBI, banks are advised to issue only CTS-2010 standard cheques to their customers. (AGENCIES)
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