Thanks Pras for edition No 18. Yes, Karnataka and Bangalore has always been special for most of us and will continue to do so despite the traffic problems and other issues of a growing city of the recent past.
As a former banker, I thank Prasanna for the detailed legal view on cheque return. While on the subject, I understand that RBI has issued instruction for prior intimation to the Bank (by the drawer) mandatory for cheques above Rs. 50,000/-.
For RBI Circular on this please check here https://www.rbi.org.in/scripts/NotificationUser.aspx?Mode=0&Id=11969 . This may take effect from Jan 1 of the coming year. I understand that RBI is planning to make it compulsory later for cheques above Rs 5 Lakhs. This, it is hoped, will reduce frauds in high value payments.
As part of the system, called positive pay, it is important to note that only those cheques which are compliant with above instructions will be accepted under dispute resolution mechanism at the CTS (Cheque Truncation System) grid. RBI has advised to Banks to implement a similar system outside CTS too.
Some of the readers may ask what CTS is. For them, I wish to clarify that it’s a system for quicker clearance undertaken by RBI. Truncation is the course of discontinuing the flow of the physical cheque for it's clearing. Instead of this an electronic image of the cheque is transferred with vital essential data. It’s been already implemented in India for quite some time now.
Nice.. On the name Karnataka, I thought most of South India - including current Karnataka - was known by that name at some point of time in history.. Or was it only Kananda speaking regions?
Loved it Pras! Even the bit on cheques as a refresher. Am off to try some Turkish coffee now, if I can convince my wife to let me back in the kitchen after my last disaster with the blender. :)
Pras - The write up on Cheques was useful
Thank you Mate for liking the write up.
Mat or Mate or both?
I prefer Matt and that way I don't put you on the mat mate!!
Thanks Pras for edition No 18. Yes, Karnataka and Bangalore has always been special for most of us and will continue to do so despite the traffic problems and other issues of a growing city of the recent past.
As a former banker, I thank Prasanna for the detailed legal view on cheque return. While on the subject, I understand that RBI has issued instruction for prior intimation to the Bank (by the drawer) mandatory for cheques above Rs. 50,000/-.
For RBI Circular on this please check here https://www.rbi.org.in/scripts/NotificationUser.aspx?Mode=0&Id=11969 . This may take effect from Jan 1 of the coming year. I understand that RBI is planning to make it compulsory later for cheques above Rs 5 Lakhs. This, it is hoped, will reduce frauds in high value payments.
As part of the system, called positive pay, it is important to note that only those cheques which are compliant with above instructions will be accepted under dispute resolution mechanism at the CTS (Cheque Truncation System) grid. RBI has advised to Banks to implement a similar system outside CTS too.
Some of the readers may ask what CTS is. For them, I wish to clarify that it’s a system for quicker clearance undertaken by RBI. Truncation is the course of discontinuing the flow of the physical cheque for it's clearing. Instead of this an electronic image of the cheque is transferred with vital essential data. It’s been already implemented in India for quite some time now.
As always you add value with your very useful comments. Thank you very much indeed Shahji.
Nice.. On the name Karnataka, I thought most of South India - including current Karnataka - was known by that name at some point of time in history.. Or was it only Kananda speaking regions?
some parts were considered as part of Karnataka like Hyderabad Karnataka area. But it all ended up being a linguistic state.
Loved it Pras! Even the bit on cheques as a refresher. Am off to try some Turkish coffee now, if I can convince my wife to let me back in the kitchen after my last disaster with the blender. :)
Thanks much Sri. Good luck with the kitchen visa.
Excellent thoroughly enjoyed reading and the humorous presented
Thank you Nutts! You are my source of encouragement.
Another type of coffee v get in Indonesia lot Lupuk
Seeds will b in d stomach of cats and there after collected have u tasted by any chance