Micr code has how many digits

Like in India, every bank branch has been provided by a unique MICR code, and thus RBI can easily identify the bank branch and the banking takes place at a faster rate. It is a nine digit number. The components of MICR are MICR codes uses a special ink which is sensitive to magnetic fields and thus information can be encoded in the magnetic characters. This is used for enhancing the security in the transactions.

For example, a counterfeit check can be detected easily, as the magnetic ink line will not respond to magnetic fields and thus will provide an incorrect code when scanned. This code also helps in avoiding the errors that can be generated in the case of manual clearing of the checks.

MICR is very old system, used for ensuring the safety and security of negotiable instruments, to facilitate the processing of the cheques. MICR code contains the details of the cheque such as serial number, the 9 digit number. The first three digits represent the city, next three represent the bank and the last three digits indicates the branch. As MICR code is written with a special magnetic ink, thus fraud cases can be easily determined through check done by the magnetic scanner.

A typical MICR code is as: wherein the first 3 numbers serve to identify the city code, center three identify the bank code and the last digits its branch code. This code identify all the NEFT participating bank branches uniquely. To transfer funds, one needs to know the IFSC code, so that the beneficiary gets the funds directly in his account.

There is no physical dispatch of cheques between the clearing house and the banks is involved. It is further joined with the PIN code, which is used for postal addresses in India.

Remember that the MICR code is found next to the cheque number on the bottom of a cheque leaf. It's also printed on the first page of a savings account passbook at a bank.

Manual cheque delays and human errors could possibly lead to certain faults. Therefore, RBI took the matter into its hand to address this concern and developed this 9-unique digit code.

The interesting fact about this 9-digit code is that— it is machine-readable and diminishing all possibilities of any errors or faults. Further, this method has boosted the efficiency and accuracy of the financial system. Also, the cheque processing time has also been reduced considerably through the MICR code. Moreover, the former is used for cheque clearance while the latter is used for the bank-to-bank electronic fund transfers.

The MICR code is formatted in a unique manner. Moreover, it consists of a 9-digit code, which is used to identify the bank branch taking part in the electronic clearance system or ECS. The MICR code consists of 9-digit and the first three-digit indicate the city code. Further, the next three-digit signifies the bank code. Lastly, the final three-digit represent the branch code. In addition, these codes could be easily read by the MICR machine readers. Interestingly, MICR reader machines recognize the unique waveform, which is generated by the magnetic ink characters despite multiple stamped or overprinted.

You will find crucial information on your checkbook or passbook. Further, you can easily obtain the MICR code on the footer area of your checkbook or passbook. Note that the MICR code is presented next to the 6-digit number called the cheque number. Furthermore, you will be asked certain information before starting the process. The information includes bank name, state, district, and branch name. Moreover, you need to fill in all the information picked from the drop-down menu. Once you provide and fill in all the details, then it will display the MICR code of your bank branch.

MICR Code. MICR code is initiated to make cheque processing simpler and faster. The first three digits represent the city code where the bank branch is located.

Last 6 digits represent the bank location Last three digits indicate the bank branch code. Through App: Almost every smartphone has apps these days. First and foremost, you need to have an activated net banking system for your account. Download the net banking app of your bank. Open the app; enter the login PIN or credentials, like the customer ID and password to open your account.

In case, you have not added the beneficiary, then first them by entering the name of the beneficiary, bank account number, and the IFSC code of the respective bank branch. Once you completed the process of registration, it will take around 5 mins- 12hrs to activate the beneficiary account for money transfer. This time period to link the accounts generally depends upon the bank policy. To transfer money through the process of SMS, first, you will need to link your mobile number to your bank account by registering your phone number for mobile banking.

MMID and mPin.