Despite the government’s October 4 announcement that cheque deposits would be credited within two hours, account holders are still waiting four to six days for their funds.
The delays, especially ahead of Diwali, have frustrated customers, disrupting salary payments and financial planning. In many cases, salaries remain uncredited even after their due dates, exposing flaws in the bank clearing system.
For instance:
- A cheque deposited at Punjab National Bank on Monday was debited the next day, but the funds hadn’t reached the recipient by Thursday.
- Customers of Indian Overseas Bank are also facing similar delays.
- In Ahmedabad’s Science City, one account holder deposited 26 lakh across 3–4 cheques, which have still not cleared into their Bank of Baroda account after six days. The branch manager advised contacting the bank’s head office.
Operational hurdles for banks
Bank employees are now required to stay at branches until midnight during clearing cycles, with no clear guidelines on cash reserves. Previously, all cheques cleared by 7 pm, allowing staff to cover shortfalls from private bank funds. Now, reserves have increased from 2 crore to 3–4 crore, raising concerns about Cash Reserve Ratio (CRR) violations.
NPCI blamed for delays
Banks are citing technical glitches at the National Payments Corporation of India (NPCI) in the Cheque Truncation System as the main reason for delays. Many banks have encouraged customers to use RTGS, NEFT, and digital payment methods instead, as the new two-hour clearing system remains largely unworkable.
In short, the much-touted “two-hour credit” promise has yet to reach reality, leaving customers waiting days for funds.