By now all banks have converted their cheques to the new Cheque Truncation and Conversion System (CTCS) as required by Bank Negara. If you have not received your new cheque book from your bank, do enquire and make sure that you get a copy as old cheques are no longer accepted by banks.
According to Bank Negara, one of the benefits of this new system is speedier and more efficient cheque clearing. I quote a paragraph from the Bank Negara website:
Under the CTCS, outstation as well as local cheques will be cleared on the same day and funds made available as early as the next business day, compared to between 5 to 8 business days for outstation cheques currently. Express clearing of cheques is also available under the CTCS which provides for same day clearing and funds availability. (source: Bank Negara website)
I’m not sure if this is in fact true. Last week, I was at Public Bank’s headquarters, doing my banking. I had just dropped a cheque into the cheque deposit machine and whilst I was waiting for the bank teller to finish up on one of my transactions, I asked her how long it will take for my local cheque to clear. She was unsure and had to check with whom I assumed was a more senior colleague. They both came back to me and said it would take 2 days for the cheque to clear.
No doubt that the cheque wasn’t a house cheque that I deposited, but according to Bank Negara’s statement, I would expect that the cheque be cleared on the same day or at most the next day. If it clears in 2 days, then it’s no different in terms of speed and efficiency from the old system. I’m confused. I don’t know if the bank tellers were wrong, or the claims are untrue.
{ 2 comments… read them below or add one }
You might want to ask them why they need so long to process when BNM said otherwise? I know it’s bad, but banks are really afraid of the term BANK NEGARA especially non-gov related banks. If they failed to follow whatever BNM said, they will end up in trouble.
I got a feeling the people managing the counters may not have been duly updated on the processes. You know how it is at banks, so many layers of top management and they kinda forget the frontliners.