Bank Of Baroda

Bank Of Baroda Positive Pay System


In today’s digital age, financial transactions are increasingly conducted online or through electronic means.

While this convenience has transformed how we manage our finances, it has also introduced potential risks of fraud and unauthorized transactions.

To address these concerns, Bank of Baroda has implemented the Positive Pay System (PPS), an additional layer of security to safeguard your high-value cheque transactions.

What is the Positive Pay System?

The Positive Pay System is a fraud mitigation mechanism that mandates pre-confirmation of certain cheque details before they are processed for payment.

This means that before a high-value cheque is cleared, the bank verifies its authenticity and matches it against the information provided by the account holder.

If there are any discrepancies, the cheque is flagged for further scrutiny, preventing fraudulent transactions from going through.

What Cheques are Covered under the Positive Pay System?

The Positive Pay System applies to all cheque transactions above a certain threshold, typically ₹5 lakh or more. This includes self-drawn cheques, cross-cheques, and outstation cheques.


How Does the Positive Pay System Work?

When you issue a high-value cheque, you are required to provide the bank with specific details, such as the cheque number, beneficiary name, and amount. The bank stores this information in its system.

When the cheque is presented for payment, the clearing house compares the cheque details with the pre-confirmed information. If there is a match, the cheque is processed for payment.

However, if there is a mismatch, the cheque is flagged for further verification, and you may be contacted by the bank for confirmation.

Bank of Baroda’s Positive Pay System is a proactive measure to safeguard your high-value cheque transactions.

By pre-confirming cheque details and verifying them against your account information, the system helps prevent fraudulent activities and provides an extra layer of security for your finances.

As you continue to conduct transactions in the digital era, embrace the Positive Pay System as a valuable tool to protect your hard-earned money.


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