PPS (Positive Payment System) – All you need to know

A positive Payment System is popularly termed a PPS system. The scheme primarily aims to protect the bank customers against large-value cheque frauds, which is considered the topmost priority of almost all the banks of national importance. According to the PPS system, the concerned bank needs to pass all the high-value cheques of Rs 10 lakh and above only when the cheques are being cleared after cumulative verification and reconfirmation. Several banks have circulated a notice that read, “the cheques that are registered under PPS will only be accepted under the dispute resolution mechanism.”

What is a PPS?

PPS stands for Positive Pay System. It is being developed by the National Payments Corporation of India (NCPI). The system states that if a customer desires to issue a high-value cheque, he mandatorily needs to submit some of his essential details. The details include:
• The customer’s account number.
• Cheque number.
• Cheque alpha code.
• Cheque issue date.
• The total amount to be sanctioned.
• The beneficiary name.
The details can be shared by the customer through the internet banking platform, mobile banking platform, or in the home branch in the prescribed format at least before 24 hours from the Process of cheque clearance. These details are then cross-checked and verified before clearing it.

How to fill in the PPS data through IBS?

IBS stands for Internet Banking Service. Follow the steps to fill in your data:
• Log in to your Internet Banking using your ID and protected password.
• Click on the Value Added Services bar.
• Locate the Positive Pay Services tab situated at the bottom of the menu.
• Click on the tab.
• Fill in your required details one by one carefully.
• Lastly, enter your transaction password to confirm the details entered.
• Click on the submit button.
You will receive a message on your screen stating that your cheque has been successfully uploaded. It implies that your submission is successful.

How to fill in the PPS data through MBS?

MBS stands for Mobile Banking Service.
Follow the steps to fill in your data:
• Log in to your Mobile Banking using your ID and protected password.
• Hover over the cheques tab.
• Click on it.
• Locate the Positive Pay System at the bottom.
• Click on the tab.
• Fill in your required details one by one carefully.
• After filling up the details, press the continue button.
• A pop-up will appear on the screen to confirm your request.
• Select the confirm button.
A message will be displayed stating, “Your cheque has been uploaded successfully.” You can either press on home to return or tap on the go to services button to stay on the mobile banking page.

How to fill in the PPS data through SMS banking?

PPS also facilitates its customers to enter the details through the SMS banking system. Follow the steps to fill in your data:
• Go to your messaging app present on your device.
• Select the sender number to be 9264092640. You may also send it to 5607040.
• Format: PPS
• Press the arrow indicating upwards to send the message.
You will receive a message stating your request for PPS data on cheque no. XXXXXX in account no XXXXXXXXXXXXXX has been accepted. It implies that your PPS data fill-up is successful.

What details must you pay attention to while filling up the details?

Please note that:
• Account Number must contain the Full Account Number.
• The cheque Number must include the 6-digit Cheque Number consisting of numerical values.
• Cheque Alpha must contain three characters printed on the cheque.
• The cheque Amount value must be Rs.50000/- and above, consisting of only numerical values.
• The cheque Date format must be DDMMYYYY.

Were there any other steps taken to stop fraud by the government?

Yes, last year, on January 1, 2021, the Reserve Bank of India (RBI) had announced and implemented the PPS for Cheque Truncation System (CTS). The step with added security features was taken to safeguard the customer and make the cheque payment a more liable transaction method. It was available for all account holders issuing cheques for Rs 50,000 or above.

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