In how many days cheque will be cleared
what is high value cheque? Time taken for Outstation cheque clearing, local cheque clearing, High Value cheque clearing, Points that need to be taken care of before cheque submission, Tips for cheque submission in banks,Cheque is one of the medium of money transfer now a days. In this article we try to know the time taken in clearing of bank cheques.
Time taken for cheque clearing
Time taken in cheque processing depends on few points--
1.Local clearing.
2.Outstation clearing.
3.Transfer in same branch.
4.High value clearing.
Let now see the following points in details--
Time taken for Local cheque clearing
Local clearing is the process in which you deposit your cheque in bank branch of same city means you should have your account in the same city. The processing of local cheques are following--
First day of Local cheque clearing You deposit your local cheque in yours bank account.
Second day of Local cheque clearing Your bank sends this cheque to clearing house of Reserve Bank of India. A clearing house is that association of banks in which cheques of different banks of city being cleared. Banks collects those cheques from clearing house which can be with drawn from their any branch. The headquarter of these banks sends the cheques to respective bank branches for clearing. These are also known as inward clearing cheques.
Third day of Local cheque clearing Money transferred in your account. If due to any reason bank fails to transfer money from customer account to your account than cheque resend to those bank which present it {It is the bank in which you have account}.
Cheque can be credited with in two or three days after depositing in your account.
Time taken for Outstation cheque clearing
It is clear from the name that if you deposits the cheque of bank branch of different city than it also follow the previous procedure. The only difference is that it takes more time in clearing. The reason for this is that physical cheque takes some time in transferring from one city to another city. Generally outstation clearing require seven to ten days it depends on the location of bank branch.
Time taken for money Transfer in same bank branch
When you deposit a cheque to draw in same branch in which you have your account. Then the money transfers in your account same day.
Time taken for High value cheque clearing
what is high value cheque? Cheque of amount one lac or more is known as high value cheque. Your local cheques are cleared same day in high value clearing. The money is transfered in your account in next morning. Money should be deposited before cut off time in morning and it should be according to high value clearing processing.Points that need to be taken care of before cheque submission
You should check the cheque collection policies of your bank. According to Reserve Bank of India all banks should follow this policy. Customers should see that what is the fixed time for transferring of money in accounts.
You should see the fee of outstation and high value clearing process of your bank. Banks charges Rs.15 to 500 for outstation cheques. These charges are according to the location and amount of cheque money. Reserve Bank has presented a proposal for cutting these charges which will give advantage to customers. The charges for high value clearing can be Rs.20 to 50 in future.
