What changed
Previously, MICR and IFSC codes were only printed on cheque leaves. Now, RBI requires banks to also display these codes on passbooks and statement of accounts for all account holders. This is a new mandatory disclosure requirement.
What it means for you
Banks must update their passbook printing and statement generation systems to include MICR and IFSC codes. This reduces customer dependency on cheque books for transaction codes, improving convenience for electronic payments. Non-compliance could lead to regulatory action, so swift implementation is needed.
What you must do
- Update passbook printing templates to include MICR and IFSC codes for each branch.
- Modify statement of account generation systems to display these codes.
- Ensure all existing and new account holders receive updated passbooks/statements with codes.
- Submit an action taken report to RBI within 15 days of receiving this circular.
- Coordinate with IT and operations teams to implement changes without delay.
Who it affects
All banks participating in RTGS, NEFT, and NECS, Bank operations and IT departments, Account holders of all banks
Why is RBI making MICR and IFSC codes mandatory on passbooks?
To make these codes easily accessible for customers, reducing reliance on cheque leaves for ECS, NEFT, and RTGS transactions.
What is the deadline for compliance?
Banks must take necessary steps immediately and submit an action taken report within 15 days of receiving the circular.
Does this apply to all types of accounts?
Yes, it applies to all account holders, as passbooks and statements of account must include the MICR and IFSC codes.