|
. Immediate credit of local/outstation instruments: Immediate credit will be given to the account of a customer with the value of local/outstation instruments not exceeding Rs.15000/- (Rupees Fifteen thousands only). The
outstanding local/outstation instruments under such a facility for a customer should not exceed Rs.15000/- (Rupees fifteen thousands only) on any day. It may be a single instrument or a number of instruments with aggregate value not exceeding Rs.15000/- (Rupees Fifteen thousands only). However the facility will be subject to the following conditions: i. The account holder must be a customer of our bank for at least one year and his/her account should not be a Non-Performing Asset (NPA). ii. The customer should have been identified after fully complying with the Know Your Customer (KYC) and Anti Money Laundering (AML) policy of our Bank. iii. The track record of the customer must be good. Neither the cheques issued nor lodged for collection should have been returned frequently (say more than five times in a year) for want of funds. iv. The instrument for which immediate credit is given must be free from technical errors like out-of-date, post dated, words and figures differ, alterations not authenticated etc. v. The facility will be available for an equal amount only after realization of earlier instruments for which immediate credit has been given in case the sum total exceeds the cap of Ra.15, 000/- (Rupees Fifteen thousands only) vi. If an instrument for which immediate credit is given is returned for reasons other than technical grounds then the facility should not be allowed for instruments issued by the drawer of that instrument for the same customer or any other customer. vii. The customer to whom the facility of immediate credit is offered must execute an indemnity to protect our Bank in the event of any loss of the instrument in transit or delay in realization beyond the control of the bank/abnormal situations/ acts of
God. As the above facility of immediate credit
is given with the stipulated terms and conditions and not as a matter of routine the Bank reserves the right to either offer the facility or reject at any point of time. Time frame for collection of local/outstation instruments
The following time frame is prescribed for affording credit or information pertaining to return of the unpaid instrument to customers to ensure quick collection of local/outstation instruments. The instruments should be duly collected and the accounts of the customers
should be credited. They should be allowed use of funds latest on the date mentioned below from the date of acceptance of the instruments at the counters of the branch. All possible steps should be taken to collect the instruments much earlier than the time frame stipulated.
Nature of the instrument |
Time frame for collection |
Local instruments (Instruments that are payable at the same centre in which the branch is located) |
3 working days |
Outstation instruments that are payable at a centre where there is a branch of our bank |
10 working days |
Outstation instruments that are payable at a centre where there is no branch of our bank |
15 working days |
Charges: The Bank should charge a flat sum of Rs.10/- (Rupees Ten only) per instrument up to a value of Rs.5,000/- (Rupees Five thousands only) and for instruments over Rs.5000/- (Five Thousand only) according to the prevailing guidelines on service charges will be collected.
Interest payment for delayed collection: If the collection is delayed beyond the time frame stipulated in paragraph 5 above then for the amount collected interest for the delayed period should be paid to the customers without any representation as per directions below.
If there is abnormal delay exceeding 60 days an additional penal interest of 2% p.a. should be paid
Period of delay |
Rate of interest payable for the delayed period |
Upto 13 days |
Interest as applicable for savings bank account |
14 days and above upto 60 days |
Interest as applicable for fixed deposit for the delayed period |
Above 60 days |
Interest as applicable for fixed deposit for the delayed period together with 2% p.a. penal rate of interest |
The rate of interest will be as applicable on the date of
receipt of the instrument for collection. A minimum of Rs.5/- (Rupees Five only) should have accrued as interest compensation for the customer. | 
