SBI Positive Pay System: Submit High-Value Cheque Details Online & Mobile

The (SBI) State Bank of India has announced that it will implement the SBI Positive Pay System on January 1, 2021, to make cheque payments safer. “Protecting all of your transactions, even those made with cheques.” SBI will use the Positive Pay System on January 1, 2021, to make cheque payments safer.

SBI Positive Pay System is the process of reconfirming essential facts on large-value checks. The issuer of the cheque sends some minimal information about the cheque, such as the date, name of the beneficiary/payee, amount, and so on, to the drawee bank via electronic channels such as SMS, mobile app, online banking, ATM, and so on, which CTS then compares to the presented cheque.

All account holders who issue cheques for Rs 50,000 or more must get permitted to use them. While the decision to use this service is entirely up to the account user, banks may consider making it mandatory for cheques worth more than Rs 5,000,000.

How SBI Positive Pay System Works?

In the positive pay system, the cheques will get processed for payment by the drawee bank based on the details provided by the customer at the time of issuance. When a beneficiary presents a cheque for encashment, the information on the cheque is compared to the information provided to the drawee bank through Positive Pay System. If the details match, the cheque is honoured. When a difference in cheque details is detected, CTS notifies the drawee and presenting banks, who subsequently take the appropriate action.

Most banks would charge an insurance premium fee to create a double-layer security system with a positive pay system to help avoid fraud losses and liabilities. Although the system is not yet necessary, you can use it to prevent fraudulent conduct when making cheque payments. You can also check details on [PDF] SBI RTGS Form PDF Download | SBI NEFT Form Download (December 2021)

The process to submit SBI Positive Pay Online through Mobile Banking.

For the process to submit SBI positive pay online via mobile banking, you can go through the outline steps mentioned below. Make sure you do not keep any measures for the smooth flow:

1. As an SBI user, you must have the SBI YONO Lite application on your mobile phone. First, you have to open the SBI YONO Lite App.
2. After opening the application, you have to log in using your username and password.
3. Next, you have to go to the ‘services’ section.
4. Following that, you have to select the ‘positive pay system’ option.
5. Next, move forward and click on “Cheque Lodgement Details”.
6. Now you have to select your account number carefully.
7. Enter your cheque number, date of cheque issue, instrument type, and the cheque amount very carefully.
8. The last step is to submit all the details.

The process to submit Positive Pay via SBI Online / SBI Net Banking.

For the process to submit SBI positive pay online via online banking / SBI net banking, you can go through the outline steps mentioned below. Make sure you do not keep any measures for the smooth flow:

1. For submitting positive pay in SBI through the online net banking process, you must have working net banking. The users who have active SBI net banking have to log in to SBI net banking via the official sbi website. Click Here.
2. Once you have login into your account next, you have to click on the Cheque Book Services option.
3. Look for the ‘positive pay services’ option and select it.
4. The user now has to select the account number.
5. Following that, you have to enter all the details like cheque number, amount, cheque date, instrument type, and the payee name.
6. The last step is to submit all the details.

The cheque details are validated against the information supplied by the customer on the positive pay site when the beneficiary submits the cheque for encashment after submitting positive pay to SBI.

SBI Positive Pay Cheque process benefits by RBI

SBI Positive Pay system benefits both the issuer and the beneficiary. The issuer benefits from this concept since counterfeit cheques cannot be cashed out of the issuer’s account. The beneficiary benefits because the cheques they get are typically honoured.

According to a September circular from the RBI, only checks that correspond with the instructions as mentioned earlier will be accepted under the CTS grids’ dispute resolution system. Member banks may make similar arrangements for checks cleared or collected outside of CTS.

5 Important things about SBI’s new rule for cheque payments (SBI Positive Pay):

1. SBI Positive Pay system is a concept that entails reconfirming crucial information of large-value cheques.
2. The issuer of the cheque will be asked to send specific details to SBI via SMS, mobile app, online banking, or ATMs as part of this process.
3. The cheque’s specific minimal details (such as the date, name of the beneficiary/payee, amount, and so on) are provided to the drawee bank, and CTS cross-checks these facts with the supplied cheque.
4. CTS reports any mismatch to the drawee and presenting banks, who take corrective action.
5. The RBI has authorised the National Payments Corporation of India to provide an option for Indian lenders to connect directly to the CTS to validate data more quickly.

SBI account users can use the bank’s internet banking to request that a cheque book be delivered to any address of their choice. On our website, you can also learn about How To Apply For SBI Cheque Book Online December 2021

FAQs

Conclusion

To combat banking fraud, the Reserve Bank of India decided to implement the “positive pay system” for cheques a few months ago. Re-confirmation of crucial facts may be required for payments above Rs 50,000. This Cheque payments regulation of the positive pay system will be implemented on January 1, 2021. While using this service is entirely up to the account holder, banks may consider making it mandatory for cheques for Rs 5 lakh or more. If you need any more information related to SBI positive pay system, write to us in the comment section below.