Starting today, October 4, new guidelines from the Reserve Bank of India (RBI) are being implemented for banks. Under these guidelines, all banks will be required to clear cheques within the same day. This means your cheque will now be cleared within a few hours. Previously, it took at least two days for a cheque to clear. With the RBI’s new guidelines, making cheque payments easier and faster will become easier.
The cheque will now clear within a few hours.
Under the RBI’s new guidelines, starting today, October 4, if you deposit a cheque in your bank, it will be cleared within a few hours on the same day. However, the RBI has also suggested that the person issuing the cheque must maintain the corresponding amount in their bank account. ICICI and HDFC have urged their customers to maintain sufficient balance in their accounts and fill in all cheque details correctly to avoid cheque bouncing, delays, or rejections.
New rules will be implemented in two phases.
However, the new RBI guidelines will be implemented in two phases. The first phase of the new system will be implemented from October 4, 2025, i.e., today, to January 3, 2026. The second phase will be implemented after January 3, 2026.
What time should the cheque be presented?
According to the RBI’s new system, there will be a single presentation session, during which the cheque must be presented between 10:00 AM and 4:00 PM. This means that you must bring the cheque to the bank for clearing only between 10:00 AM and 4:00 PM. The bank will then scan the cheque and send it to the clearing house. The clearing house will send an image of the cheque to the paying bank.
The bank that is to pay the amount must confirm by 7 PM whether the cheque will be cleared or not. This means that banks will now have an “item expiry time” by which they must provide confirmation.
Use the Positive Pay System
Banks have also encouraged their customers to utilise the Positive Pay system for enhanced security. This requires submitting key cheque details in advance for verification. Account holders must provide the account number, cheque number, date, amount, and beneficiary’s name to the bank at least 24 hours before depositing a cheque exceeding ₹50,000.
When the cheque arrives, the bank will verify these details. If the information matches, the cheque will be cleared; otherwise, the request will be rejected, and the cheque issuer will have to provide the details once again.
