Bank of Baroda Mandates Positive Pay Confirmation for Cheque Security
Bank of Baroda has announced a series of changes to its cheque processing policies to enhance security and prevent fraud. The bank is implementing a phased reduction in the mandatory threshold for Positive Pay Confirmation, which is an electronic authentication mechanism. This system requires customers to share key cheque details with the bank before high-value cheques are processed.
The Positive Pay System, introduced by the Reserve Bank of India (RBI) on January 1, 2021, is designed to ensure that high-value cheques are verified and processed securely without the need for re-confirmation calls. Currently, Positive Pay is mandatory for cheques of Rs 5 lakh and above. However, the bank will gradually lower this threshold in the coming months.
From May 1, 2025, Positive Pay will be mandatory for cheques of Rs 4 lakh and above. This will be followed by a further reduction to Rs 3 lakh and above from August 1, 2025, and finally to Rs 2 lakh and above from November 1, 2025. These changes aim to provide an additional layer of security and reduce the risk of cheque-related frauds.
Customers can submit Positive Pay details through various channels, including mobile banking (Baroda M-Connect Plus), net banking (BOB iBanking), branch visits, SMS, call center, WhatsApp banking, and the bank’s website. It is crucial for customers to submit these details before handing over the cheques to beneficiaries to ensure seamless and secure cheque clearance.
For mobile banking, the process is straightforward. Customers need to log in to their Baroda M-Connect Plus app, navigate to Request Services > Positive Pay Confirmation, select the operative account, enter the cheque number, amount, payee’s name, date, and transaction code, and then confirm the details using their MPIN.
Similarly, for net banking, customers should log in to BOB iBanking, navigate to Services > Cheque Book > Centralized Positive Pay Mechanism, enter the required cheque details, and confirm the transaction using their password. These steps are essential to ensure that the cheque is processed without any issues.
Bank of Baroda is committed to providing a secure and efficient banking experience to its customers. By implementing these changes, the bank aims to enhance the security of high-value transactions and protect its customers from potential frauds. Customers are encouraged to familiarize themselves with the Positive Pay system and follow the required steps to ensure that their cheques are processed smoothly and securely.
