Cheque Truncation System (CTS)

Cheque Truncation System (CTS) was pioneered by the Reserve Bank of India – RBI, for faster clearing of cheques. It involves sending an electronic image of the cheque together with its Magnetic Ink Character Recognition (MICR) data, and other relevant fields like date of presentation, presenting bank’s name, etc. This procedure would eliminate the need for physical transfer of cheques across branches, except in certain cases