Have you wondered why bank has been sedning SMS and call to replace your old cheque book before 1 JAN 2013. the answer is INDIAN bank is moving toward faster and quicker Cheque Clearnce method. This new cheque system is called CTS which stands for Cheque Truncation System
Earler with the instruction of RBI this project was tested as pilot project with some banks across few location in INDIA finally RBI has made it mandatory to use CTS enable cheque book
In this  system the Cheque will be cleared in a day which normally takes days days on an average.
In present context all the cheques are sent directly physical to the respective  bank  to which cheque bleongs to for clearance, but in  this new  System , the banks will send the digital version of cheques to the other bank and the clearance will be done almost same day

Here are few feature listed below by which you can identify whether your cheque book is CTS enable or not

1) All CTS-2010 Cheques will have a watermark with the words “CTS INDIA”, which can be seen against a light

2) It should have a bank logo that will be on cheque with a Ultra Violet Ink , which can be seen only under UV Scanners.

3) The Cheque Truncation System 2010 enabled cheques will not allow any alterations. If there is any mistakes, the cheque will be invalid

4) It should have text  at the bottom of all the cheques “payable at par at all branches of the bank in India”

5) It should have  IFSC and MICR code on the cheque

6) Sign the cheque will a darker ink, so that your signatures are valid for scanning.

7) It should have the wordings “please sign above this line” at right bottom

In coming days bank account holders will be able to access their accounts, transfer funds, check balances and request cheque books by simply dialing *99# from their basic mobile phones,including the most basic GSM handsets.

While some bank have already rolled out similar services for example in SBI it is *595# but now *99# will be a universal code to access account details across all banks.  *99# connectivity is under the Unstructured Supplementary Service Data (USSD) platform where each dial-in results in a live connection with the bank's server.
This is similar to the system used in pre-paid phones to check balances. The user's numerical literacy would be enough to operate the account .Best feature that I liked is that it not based on SMS or GPRS connectivity,  so there's no charge on the user end.

Most of us have came across the money transaction using Bank Cheque. We must have filled the cheque and have given to someone or you might have got the cheque to get it cashed. We just look at amount the ammount and submit for encashment :D .Have you ever noticed the four set of number on the bottom of cheque. What is number all about have you ever tried to find out what this number means. I am going to explain the meaning of that four set of number

There are basically four set of number present in Indian Cheque.

1) Cheque Number
First set of numbers represent the cheque number. It is a six digit number (refer image)

2)MICR code

MICR stands for Magnetic Ink Character Recognition. It is a method that helps route the cheque to where the money exist. This is used to efficiently transfer your money.