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Regular-article-logo Thursday, 04 December 2025

Banks to accept non-MICR cheques

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OUR CORRESPONDENT Published 20.02.07, 12:00 AM

Jamshedpur, Feb. 20: The Union Bank of India today once again directed all banks in the city to accept non-MICR (Magnetic Ink Character Recognition) cheques from customers, keeping in view the inconvenience caused due to refusal.

Authorities of MICR centre, run by Union Bank of India, said according to the RBI guidelines, no banks can refuse non-MICR cheques.

Chief manager of Union Bank of India, A.K. Panigrahi, who is also the president of the Clearing House, said in case of refusal of non-MICR cheques by any bank, which are partners of the Clearing House, a customer can approach the MICR in-charge with a complaint.

MICR in-charge P.K. Tripathy said banks were also advised to replace the non-MICR cheques of customers by MICR cheques. Tripathy said at a meeting of all bank regional heads on November 29, 2005, it had been decided to discontinue non-MICR clearing completely from February 1, 2006. However, all banks were advised not to refuse non-MICR cheques and present them in MICR clearing duly encoded.

Moreover, at a meeting of all branch heads of different banks on February 15 it was decided to continue the clearing facility of government cheques, treasury bills and high value clearing on a daily basis except on Saturdays.

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