Beruflich Dokumente
Kultur Dokumente
Speedy
Payable
Cheques Drafts Pay Order Warrants ECS Debit /Credits Income Tax Refund Orders Government Payment Order
INWARD CLEARING
Here, cheques issued by A Banks customers to the customers of other banks are honoured. These cheques are drawn on the A Bank and A Banks customers accounts are get debited
OUTWARD CLEARING
In Outward Clearing, cheques deposited by A Banks customers are collected. The cheques are drawn on a Bank other than A Bank and A Banks customers accounts are get credited once the cheques are honoured by the other banks.
To institutionalize the arrangement and to facilitate orderly conduct of business, a formal structure is put in place with RBI/SBI/OTHER BANKS managing the clearing
A Bank (Settlement Bank) is appointed to oversee clearing operations
HOW DOES CLEARING HOUSE START FUNCTIONING In 4 Metros and some major cities, RBI manages the clearing house (CH). SBI & other PSBs also mange CHs. The manager of the bank which manages the clearing house is the President of CH. There are 1076 Clearing Houses. They are guided by Uniform Regulations & Rules for Bankers Clearing House ( URRBCH) RBI has framed these rules to make arrangements for speedy and efficient collection of instruments
Sort cheques/drafts drawn on local bank branches Ensure all are specially crossed
Affix the clearing seal (clearing stamp) List Bank wise - Forwarding Schedule
Then send to service branch/main branch/RPC where consolidation is made bank wise. Instruments on sub-member listed separately. a
Similarly other participants will deliver the instruments drawn on this bank
presentations and claims are netted bank-wise
Arrive at the receivable and payable in respect of each bank Total of receivables and payables of all the participating banks should tally.
Net of receivables and payables will show whether on that day the bank has made more presentation on other banks or vice versa (favourable/adverse).
A signed copy of the settlements sheet is handed over to the supervisor. Gross balance is struck by the supervisor CH will debit /credit the net amount payable/ receivable by each bank. In case of shortfall, the member shall arrange to meet the shortfall. Generally overdraft arrangement with the clearing house against government securities exists In case of surplus remittance to the members treasury branch.
There may be 1 or 2 deliveries in a day. The instruments are taken to the branches for payment through service branch.
After scrutiny at branches, the instruments are debited to the respective accounts In case of deficiency, some of the instruments may have to be returned.
Timings - followed strictly RBI guidelines - local cheques - credit on the 3rd day. - cheque should be presented in the clearing on the same day( 1st day). - 2nd day afternoon paid or returned - 3rd day proceeds available for drawing.
Relaxations
One additional day is available if: participating in clearing through Service Br. participating as a sub-member.
branch is a morning/ evening branch.
HOW THE TIME NORMS ARE ACHIEVED Sorting for local or outstation clearing Bank wise sorting if 2 branches are participating in clearing, they are listed separately. Credit pay-in-slips and cheques tallied Usage of Encoders & reader-sorter has made the tallying process easier. Normally cut-off time will be 1 hour earlier to the time of clearing.
If it fails to return, bank has to absorb the loss - payment of stopped instruments - forged instruments - altered instruments. Wrong return, bank is liable to the drawer Errors may creep in despite best efforts: - cheque is listed, but not available - cheque is available, but not listed Banks mutually co-operate to reconcile the entries.
COUNTER RETURN
If for some reason you are unable to return a cheque within the time for return, what do you do?
In such cases ,instead of returning the cheque in outward clearing, it is returned directly to the presenting bank. Such a return across the counter is known as Counter Return. A pay order is taken from the bank concerned for the amount of the cheque. This pay order is presented along with other cheques in the next outward clearing