Jamshedpur, June 5: The steel city today became the 42nd clearing zone of the country to obtain a Magnetic Ink Character Recognition (MICR) facility, which was installed at the Bistupur branch of Union Bank of India.

?It is a milestone for the bank and the people of the city. The installation of the facility will save time in clearing cheques and ensure flawless banking.

Moreover, under the MICR facility, details of cheques that are entered into the machine can be stored for five years,? said senior manager of the bank and in-charge of MICR facility, P. K. Tripathy.

Apart from starting the facility, he added, the bank has also taken over the clearing house agency from State Bank of India. Earlier, the clearing was done at the State Bank?s Bistupur main branch.

The facility is linked to satellite and officials of Reserve Bank of India and finance ministry can check the details of cheques as and when required, said an official of the Union Bank.

In Ranchi, the facility began six months ago. A reader and a sorter machine, worth Rs 1.20 crore, has been installed at both places.

General clearing will take place at 11 am, followed by high-value clearing (cheques more than Rs 1 lakh) at 12 noon. MICR clearing will take place between 4 and 6 pm on all working days, the banker explained. Now, said officials of Union Bank of India, the facility is available in 42 places across the country.

The branch heads of nationalised and private banks of the city had attended a meeting at the Union Bank of India premises on May 31 to learn about the new facility.