Page 36 - Banking Finance August 2017
P. 36
ARTICLE
*99# service has been launched to take the banking services New Delhi on 01.07.2009. Subsequently RBI entrusted CTS
to every common man across the country. Banking custom- operations to NPCI since 10.12.2013. Now Grid-based CTS
ers can avail this service by dialing *99#, a "Common num- in New Delhi, Mumbai & Chennai grids are managed by
ber across all Telecom Service Providers (TSPs)" on their NPCI, which takes care of the processing of cheques among
mobile phone and transact through an interactive menu different banks.
displayed on the mobile screen. Key services offered under
*99# service include, interbank account to account fund National Automated Clearing House
transfer, balance enquiry, mini statement besides host of
other services. (NACH):
National Automated Clearing House (NACH) is a centralised
*99# service is currently offered by 43 leading banks & all system, launched with
GSM service providers and can be accessed in 12 different an aim to consolidate
languages including Hindi & English. *99# service is a unique multiple ECS systems
interoperable direct to consumer service that brings to- running across the
gether the diverse ecosystem partners such as Banks & TSPs. country and provides a framework for the harmonization of
standard & practices and removes local barriers/inhibitors.
Features of *99# Service: NACH system provides a national footprint covers the en-
tire core banking enabled bank branches spread across the
Y Works without Internet - Uses voice connectivity
geography of the country irrespective of the location of the
Y Round the clock availability (works even on holidays) bank branch.
Y Accessible through a common code *99# across all TSPs
NPCI has implemented "National Automated Clearing House
Y Works across all GSM service providers and mobile hand-
(NACH)" for Banks, Financial Institutions, Corporates and
sets
Government a web based solution to facilitate interbank,
Y Additional channel for banking and key catalyst for fi- high volume, electronic transactions which are repetitive
nancial inclusion and periodic in nature. NACH System can be used for mak-
Y Service also offered through BC Micro ATMs to serve ing bulk transactions towards distribution of subsidies, divi-
the rural populace dends, interest, salary, pension etc. and also for bulk trans-
actions towards collection of payments pertaining to tele-
*99*99# is a USSD based value added service from NPCI that phone, electricity, water, loans, investments in mutual funds,
facilitates the customers to check the status of his/her Aadhaar insurance premium etc.
number seeding/linking in the bank account. The service works
With the implementation of NACH system, NPCI intends to
across all GSM service providers and brings together the diverse
ecosystem partners such as Banks & TSPs. provide a single set of rules (operating and business), open
standards and best industry practices for electronic trans-
actions which are common across all the Participants, Ser-
Considering that various subsides and benefits of the State
and Central Government schemes under the Direct Benefit vice Providers and Users etc. NACH system also supports
Financial Inclusion measures initiated by Government, Gov-
Transfer (DBT) programme are being doled out on the basis
ernment Agencies and Banks by providing support to
of Aadhaar number of the beneficiary this service has proved
Aadhaar based transactions.
to be a convenient mechanism for the users to ascertain his/
her Aadhaar seeding/linking status in the bank account.
The NACH system facilitates the member banks to design
their own products and also addresses specific needs of the
Cheque Truncation System (CTS): banks & corporates including a refined Mandate Manage-
CTS Clearing was imple- ment System (MMS) and an online Dispute Management
mented by RBI in the Na- System (DMS) coupled with strong information exchange and
tional Capital Region (NCR), customised MIS capabilities.
36 | 2017 | AUGUST | BANKING FINANCE
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