Dear readers if you are looking to know about the cheque return code 88 or cheque return reason 88, you have come to the right place. In this article, we will provide you with a detailed overview of cheque return reason number 88.
This information has been written after referring to more than 03 articles on this topic, ensuring that you receive accurate and reliable information on this topic.
CHEQUE RETURN CODE 88/ REASON
A new Return Reason has been added with the implementation of the Uniform Holiday Calendar under the Cheque Truncation System (CTS). Under CTS, banks at the CTS location typically execute inward clearance in a centralised manner.
The drawee bank at the grid location may, however, return the instrument to the presenting bank under return reason code 88 as listed in annexure D of the Uniform Regulations and Rules for Bankers’ Clearing Houses with the description “need reference to the drawee branch which is closed on account of local holidays/issues” in exceptional circumstances where the reference to base branch is required but the base branch is closed due to a local holiday.
Technically speaking, Cheque Return code 88 must be re-presented by the Presenting Bank without the actual cheque being given back to the clients.
Drawee Banks must be very careful when selecting this return reason since, in the event of a dispute, it will be their responsibility to demonstrate that a holiday occurred in the Base Branch state.
For more information you can check out NPCI Circular.
if you are interested to know about other cheque return reasons you can visit our article 21 Cheque Return List.
CONCLUSION CHEQUE RETURN CODE 88
We hope this blog article has helped you gain a better understanding of the cheque return reason/code 88. If you have any further queries or require additional information, please feel free to leave a comment below.
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