RBI: Check payment process will change from October 4, checks will be cleared in just a few hours; RBI's big decision

RBI: Check payment process will change from October 4, checks will be cleared in just a few hours; RBI's big decision

Cheque Clearing Process In Banks: From 4 October 2025, there is going to be a revolutionary change in the process of cheque payment. Where earlier you had to wait for a day or two, now this work will be done in a few hours. This will provide speed and convenience to businessmen, salaried employees and common people.

Now you will not have to wait for two days after depositing the cheque in the bank. The Reserve Bank of India (RBI) has announced the implementation of a new system, under which cheques will be cleared in a few hours from October 4, 2025. This facility will be applicable across the country.

What happens now?
Currently, under the Check Truncation System (CTS), it takes one to two working days for cheque clearing. Banks process cheques in batches at a fixed time during the day, which leads to delays in payments.

What will change in the new system?
RBI is now implementing the 'continuous clearing and settlement on receipt' system. This means that as soon as the cheque is deposited, it will be scanned and sent to the clearing house immediately and will be processed continuously throughout the day. The time for cheque clearing will be reduced from T+1 day to a few hours. Along with this, the time for cheque clearing will be from 10:00 am to 4:00 pm. While the bank receiving the cheque will confirm within the stipulated time whether the cheque was passed or bounced.
The system will be implemented in two phases

First phase: From 4 October 2025 to 2 January 2026 - Banks will have to inform the status of the check (pass/bounce) by 7 pm. If the bank does not respond, the check will be considered automatically passed and payment will be made.

Second phase: From January 3, 2026 - Every cheque will have to be confirmed within three hours of being deposited. For example, if the cheque is deposited between 10 and 11 am, the bank will have to respond by 2 pm. If there is no response within three hours, the cheque will be considered passed and payment will be made.

When will the customers get the money?
As soon as the bank passes the check and the settlement is complete, the money will come to your account within an hour. If the check bounces, this information will also be available immediately. What is the objective of RBI? The objective of the change in the check clearing process is to increase the speed of check clearing, to increase convenience for both banks and customers. Along with this, the delay in funds transfer is to eliminate as well as reduce fraud and settlement risk

RBI's advice for customers RBI has instructed banks to give complete information to the customers about this new process. While depositing the check, it will be necessary to fill the correct information and keep the signature clear, because now the processing will be faster and the mistake will have immediate effect.

PC:AmarUjala