Cheque Collection Policy
Time-frame policy on collection of cheques tendered by customers
- For local cheques : For local cheques credit and debit shall be given on the same day or at the most, the next day of their presentation in clearing.
- For outstation cheques: Time frame for collection of cheques drawn on State capitals/Major Cities/Other locations is as under.
Cheques drawn on Time frame for collection State capitals 7 days from the date of lodging instruments Major cities 10 days from the date of lodging instruments Other locations 14 days from the date of lodging instruments
- For delay in collection beyond the above stipulated time, interest at the following rates shall be paid to the customers.Interest rates applicable to the fixed deposits for the corresponding maturity i.e., period of delay beyond the stipulated time frame.
Credit of interest to the customer’s account on delayed collection of outstation cheques beyond 7/10/14 days (as the case may be) shall be done automatically without the customer having to claim for it.
- Payment of interest for the delay in collection of outstation cheques are applicable to inland instruments only [i.e., instruments drawn in and payable in India
- The payment of interest for the delay in collection of outstation instruments is not applicable to Non-Negotiable Instruments, viz., prize winning lottery tickets and proceeds of matured deposit Receipts of other banks etc.
- This payment of interest for delay in collection of outstation instruments is applicable not only to individual accounts but also to all types of accounts.
- Interest not be paid if the instruments are lost in transit
- Branches shall pay interest on delayed collection only when the amount payable is Rs. 5/- or more. The amount of interest shall be rounded off to the nearest rupee.
- Bank is not responsible for the delays due to unforeseen circumstances like Postal delays, strikes etc.