Punjab National Bank changes rule regarding cheque payments

- Advertisement -

The state-owned Punjab National Bank (PNB) has changed a rule regarding cheque payments worth Rs 5 lakh and above. The bank has made the Positive Pay System (PPS) compulsory for the said amount.

This new rule will come into effect next month on April 5, 2023. The move will safeguard customers from fraudulent payment of cheques. Earlier, the mandatory submission of cheque details in PPS was set at Rs 10 lakh and above.

The PPS requires customers to reconfirm essential details including account number, cheque number, cheque alpha code, issue date, amount, and beneficiary name, when issuing cheques of a certain amount, the bank said. This adds an extra layer of security against any potential risk while processing such cheques, it said.

- Advertisement -

How to use PPS facility?

Customers can use the PPS facility by providing the cheque details through Branch office, Online Banking for individuals and businesses, Mobile Banking (PNB ONE), or SMS Banking, it said, adding, the details to be submitted one working day prior to cheque presentation/clearing date.

As per Reserve Bank of India (RBI) guidelines, PNB had introduced PPS for cheques of Rs 50,000 and above presented in CTS clearing from January 1, 2021.

- Advertisement -

RBI had recommended that availing this facility is at the account holder’s discretion and banks may consider making it mandatory for cheques of Rs 5 Lakh and above. The cheques that are registered in the PPS will only be accepted under the dispute resolution mechanism, it said.

- Advertisement -

Share this article...

Comments

4 COMMENTS

LEAVE A REPLY

Please enter your comment!
Please enter your name here

More News...

Latest

Bank Manager took Massage inside branch, Video goes viral

Bank Manager took Massage inside branch, Video goes viral

Rs.975 crore Bank Fraud: ED arrests chairman of company in Mumbai

Rs.975 crore Bank Fraud: ED arrests chairman of company in Mumbai

Case filed against SBI Manager in Death of Electrician

Case filed against SBI Manager in Death of Electrician

Funding for Fintech Companies decreased by 99%: Report

Funding for Fintech Companies decreased by 99%: Report

MTNL Defaults on Rs 37.5 crore Loan from Punjab and Sind Bank, Government Steps in

MTNL Defaults on Rs 37.5 crore Loan from Punjab and Sind Bank, Government Steps in

Dividend paid by PSU Banks to Government, Check Bank Wise Amount

Dividend paid by PSU Banks to Government, Check Bank Wise Amount

National Housing Bank Recruitment 2024, Check Vacancies and Apply Online

National Housing Bank Recruitment 2024, Check Vacancies and Apply Online

Scheduled Commercial Banks’ Business in India: RBI Data

Scheduled Commercial Banks' Business in India: RBI Data

FIR against Union Bank Officer for making Fake Marriage certificate

FIR against Union Bank Officer for making Fake Marriage certificate

10 Banks in India faced minor disruptions due to Microsoft Outage

10 Banks in India faced minor disruptions due to global tech outage

Latest News