What is CTS Cheque And Non-CTS Cheque

What is CTS Cheque

CTS cheque means CHEQUE TRAUNCTION SYSTEM in this system cheque which is presented in the clearing system through image form, not physical form. In this blog we see What is CTS Cheque And Non-CTS Cheque

With images form of a cheque, the bank sends its information like MICR code, date of presentation, presenting bank, etc.

read this also – blog se online paise kaise kamaye

In a CTS cheque a watermark is mention in cheque but in a non-CTS cheque, it is not available. non-CTA cheque also accepted by banks but on a frequent basis.

When the customer opens an account he wants to know what is CTA cheque and non-cts cheque from this knowledge he demands CTA checkbook from the bank. 

It offers the best reconciliation, best customer service, and enhanced customer window. with the help of CTA cheque system its make low cost on the clearing system and make its operation profitable.


Features of CTS Cheque

what is cts cheque
  1. Date in dd/mm/yy format
  2. bank name with ifsc code and branch name 
  3. CTS -2010 written in cheque.
  4. Watermark
  5. Please sign above written.                                                                                                                                                                                                      

What Is Non CTS Cheque

Non-CTS Cheque means a cheque used by the banking institution that cheque leaf not have a watermark and not mention IFSC code and branch name this checkbook doesn’t use magnetic ink and not mention CTS 2010.


If you want to know how to start buisness with minimum money

Why CTS is Introduced

for fastly clearing cheque, for time-saving and immediate credit amount into beneficiary account holder. for good service to customers, make clearing systems in less time, making profitable systems, less physical handling of cheque, removes reconciliation-related and logistics-related problems, thus benefiting the system as a whole.

The Reserve Bank of India is issued regularly its Statement on Developmental and Regulatory Policies has informed that the Cheque Truncation System (CTS), which is operated in metro cities and big cities like Delhi, Mumbai, Bangalore but from September 2020. 

it is operated in pan India. This means if you are still using a non-CTS checkbook, your cheques will not get cleared by the banks after that.

In India all banking rules and regulations are implemented by the reserve bank of India.in 2010 reserve bank of India has suggested not use non-cts cheque because of security purposes all non-cts cheque can not use in clearing channels .

with the help of CTS cheque bank can make clearing system fastly and smoothly. in CTS cheque bank can send the only cheque electrical image not physical cheque to the clearinghouse.


When CTS Cheque Introduced

in 2010 rbi introduced in Delhi CTS cheque system the first time introduced.
CTS – 2010 introduced 8 Feb 2020 in Delhi region. All the CTS-2010 cheque should be clean, image friendly, and overwriting is not accepted because the cheque will be cleared through an image-based clearing system.

How to Identify CTS Cheque

  • The bank name and the Branch address and IFSC code should be on the top left side of the cheque.
  • In a cheque cts -2010 word used by your bank or banking institution.
  • Cheque of all bank branches like the same.
  • Cheque carry bank watermark called CTS 2010.
  • Placement of significant fields is made mandatory but additional fields can be added by banks with their wish.
  • The light color is used in a cheque as suggested by the Indian banks association

With the above information you known that what is CTS cheque and non CTS cheque .above are complete guide on what is CTS cheque ans non CTS cheque. if you want to know how to write cheque properly then click on this link – Guide on how to fill a cheque 

Leave a Comment