Cheques to have more security features: RBI

10/03/2010
Cheques to have more security features: RBI
Mumbai:INDIA: Cheques will have more security features like water marks and invisible logo with the Reserve Bank of India (RBI) deciding to ask banks to take additional measures to prevent forgeries and frauds.

Besides additional security features, the cheques being issued by commercial banks and rural banks will be of standard size, said an RBI circular which was communicated to the heads of all banks.

"It has ... been decided to prescribe certain benchmarks towards achieving standardisation of cheques issued by banks across the country," it added.

The new features would include use of quality paper, water mark and printing of banks' logos in invisible ink, RBI said, adding "homogeneity of security features is expected to act as a deterrent against cheque frauds".

RBI said "Cheque Truncation System-2010 Standard" will be introduced after ascertaining the readiness of the banks to adopt it.

The proposed format is based on the recommendations of the Working Group which was set up by the RBI to examine standardisation of cheques and enhancement of security features.

The set of minimum security features, which will include standard size, clutter free background, use of ultra violet images etc, would "ensure uniformity all cheque forms issued by banks in the country".

Source: Agencies