In this article we provide the information related to the transaction code number in cheque. A standardized set of transaction codes has been established for universal application across all banks.

These codes, intended for pre-printing on cheques, consist of two-digit numbers ranging from 01 to 99. The allocation is such that codes 01 to 49 are designated for debit instruments, while codes 50 to 99 are reserved for credit instruments.


The following outlines the specific transaction code numbers and their corresponding nature of transactions or instruments:

Transaction Code No. Nature of Transaction / Instruments represented by the Code
01-09 Codes reserved for clearing house control documents representing debit instruments.
10 Savings Bank Account Cheque
11 Current Account cheque
12 Banker’s cheque
13 Cash credit account cheque
14 Dividend warrant
15 Traveller’s cheque
16 Demand Draft
17 Cheques which will be issued in lieu of existing payment order
18 Gift cheque
19 Interest warrant
20 State government transactions 
21 Central Government transactions 
22 Railway transactions 
23 Posts & Telegraphs transactions 
24 Defense transactions 
25 Telecommunication transactions 
26 Reserved
27 Departmentalised ministries (UMALO) transactions
28 Refund warrant
29 At Par Current Account Cheques
30 Stock Invest
31-49 Reserved

01-09: Codes reserved for clearinghouse control documents representing debit instruments.

These codes are designated for documents related to clearinghouse control, specifically representing debit instruments. This ensures a systematic and organized process for clearing transactions.


10: Savings Bank Account Cheque

This code corresponds to cheques issued from savings bank accounts, catering to individuals who hold such accounts for personal savings.


11: Current Account Cheque

For transactions involving current accounts, this code is used. Current accounts are typically utilized by businesses and individuals for regular financial transactions.


12: Banker’s Cheque

Banker’s cheques, which are guaranteed by the issuing bank, are represented by this transaction code. They provide a secure form of payment.


13: Cash Credit Account Cheque

Cash credit accounts allow individuals or businesses to withdraw funds beyond their account balance. This transaction code is used for cheques associated with such accounts.


14: Dividend Warrant

Dividend warrants, which are documents that signify the payment of dividends to shareholders, are identified by this transaction code.


15: Traveller’s Cheque

For travellers’ convenience, this code is assigned to cheques specifically designed for use during travel. Traveller’s cheques are known for their security features.


16: Demand Draft

Demand drafts, often used for transferring money between banks, are represented by this transaction code. They provide a secure means of payment.


17: Cheques Issued in Lieu of Existing Payment Order

This code is used for cheques issued as an alternative to existing payment orders, offering flexibility in financial transactions.


18: Gift Cheque

Cheques issued as gifts are categorized under this transaction code. It allows for a formalized and traceable method of presenting gifts.


19: Interest Warrant

When interest payments are made, this transaction code is utilized. It provides clarity in identifying cheques related to interest disbursements.


20: State Government Transactions

For transactions involving state governments, this code ensures the proper categorization of cheques associated with state-level financial activities.


21: Central Government Transactions

Similar to state government transactions, this code is used for cheques related to financial dealings with the central government.


22: Railway Transactions

Specifically for transactions involving railways, this transaction code streamlines the identification of cheques associated with railway-related financial activities.


23: Posts & Telegraphs Transactions

Cheques related to transactions involving postal and telegraph services are represented by this code. It aids in the organized tracking of financial activities in these domains.


24: Defense Transactions

This code is utilized for transactions related to defense activities. It ensures a distinct categorization of cheques associated with defense-related financial matters.


25: Telecommunication Transactions

For transactions within the telecommunications sector, this transaction code helps identify and differentiate associated cheques.


26: Reserved

This code is reserved for specific use cases or emerging needs, providing flexibility for future developments in financial transactions.


27: Departmentalized Ministries (UMALO) Transactions

Transactions involving departmentalized ministries fall under this category. The code facilitates the efficient handling of financial activities related to ministries.


28: Refund Warrant

When refunds are processed, this transaction code is used to categorize cheques associated with the return of funds.


29: At Par Current Account Cheques

For current account transactions designated as “at par,” this code ensures a standardized identification process for these cheques.


30: Stock Invest

This transaction code is associated with stock investments, providing clarity on cheques related to stock market activities.


31-49: Reserved

A range of codes is reserved for future use, allowing for adaptability to evolving financial needs and emerging transaction types.

Note: Currently, banks have decided to exclude travellers’ cheques from the scope of mechanized cheque processing. Travellers cheques may not be printed in MICR format and with a MICR codeline.

Consequently, when the regular mechanized cheque processing system is implemented for cheque clearing, travellers’ cheques will not be eligible for presentation through the clearing system.

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