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Punjab National Bank (PNB) introduces the Positive Pay System (PPS) for cheque payments above Rs 5 lakh starting April 5, 2023. This system is a fraud-prevention measure aimed at protecting customers
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How to fill out positive pay system

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How to fill out positive pay system

01
Step 1: Access your bank's online banking platform.
02
Step 2: Locate the Positive Pay section within the platform.
03
Step 3: Input the check details including check numbers, amounts, and issuance dates.
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Step 4: Review and verify the entered information for accuracy.
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Step 5: Submit the positive pay file as instructed by your bank.
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Step 6: Monitor for any exceptions or discrepancies flagged by the bank.

Who needs positive pay system?

01
Businesses that issue a large number of checks.
02
Organizations wanting to mitigate check fraud risk.
03
Companies with high-value payments requiring additional security measures.
04
Financial institutions looking to enhance their check payment processes.
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A positive pay system is a cash management service offered by banks to help prevent check fraud. It allows businesses to electronically submit their issued checks to the bank, which then matches the checks presented for payment against the submitted list.
Businesses that issue a significant number of checks and want to mitigate the risk of check fraud are generally required to file using a positive pay system. While not mandated by law, it is recommended for organizations that desire enhanced security.
To fill out a positive pay system, businesses need to provide their bank with a list of issued checks, including details such as check number, date, payee name, and amount. This information is typically submitted through the bank’s online platform.
The purpose of a positive pay system is to help prevent check fraud by verifying checks before they are paid. It ensures that only authorized checks are honored, reducing the risk of unauthorized transactions.
The information that must be reported on a positive pay system includes the check number, issue date, payee name, and the amount of each check being issued.
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