The Hindu Business Line : RBI pat for clearing house

BANK of Baroda's Clearing House in Coimbatore is likely to emerge as a `Model CH' in the entire banking system, the BoB's Tamil Nadu Region Assistant General Manager, Mr N.M. Prabhu, told Business Line.

In an informal chat, he said a highly placed official from the Reserve Bank of India had, during a recent visit, noted that the bank's CH in the city, could be taken as the model in the banking system, after some fine-tuning.

"We have only since September 9 taken over the return clearing as well from State Bank of India. Since taking over the CH functions in its entirety (in Coimbatore), we have automated the processes," he said.

He explained that the bank had loaded the modified version of the RBI software.

"It is a floppy-based clearing system.

The process is complete within 15 to 20 minutes and the member banks, which number 57, including a post-office and co-operative banks, take back the settlement sheet.

The settlement sheet gives item-wise and branch-wise details to facilitate the banks do the inter-branch settlement much faster."

The daily average clearing runs to 50,000 cheques.

To a query on investment, Mr Prabhu said the bank had invested Rs 6 lakh on the hardware and software.

"We have optimally used the existing hardware and IT infrastructure of the MICR processing centre."

It now offers the ECS as well.

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