LOCATE ANY BANK BRANCH IN INDIA
Bank’s
Vision
The
importance of institutional credit in boosting rural economy has been clear to
the Government of India right from its early stages of planning. Therefore, the
Reserve Bank of India (RBI) at the insistence of the Government of India,
constituted a Committee to Review the Arrangements For Institutional Credit for
Agriculture and Rural Development (CRAFICARD) to look into these very critical
aspects. The Committee was formed on 30 March 1979, under the Chairmanship of
Shri B. Sivaraman, former member of Planning Commission, Government of
India.
The
Committee’s interim report, submitted on 28 November 1979, outlined the need
for a new organisational device for providing undivided attention, forceful
direction and pointed focus to credit related issues linked with rural
development. Its recommendation was formation of a unique development financial
institution which would address these aspirations and formation of National Bank for Agriculture and Rural
Development (NABARD) was approved by
the Parliament through Act 61 of 1981.
NABARD came into existence on 12 July
1982 by transferring the agricultural credit functions of RBI and refinance
functions of the then Agricultural Refinance and Development Corporation
(ARDC). It was dedicated to the service of the nation by the late Prime
Minister Smt. Indira Gandhi on 05 November 1982. Set up with an initial capital
of Rs.100 crore, its’ paid up capital stood at Rs.14,080 crore as on 31 March
2020. Consequent to the revision in the composition of share capital between
Government of India and RBI, NABARD today is fully owned by Government of
India.
What
is IFSC Code
IFSC is
short for Indian Financial System Code and represents the 11 digit character
that you can usually see on your bank’s cheque leaves, or other bank sponsored
material. This 11 character code helps identify the individual bank branches
that participate in the various online money transfer options like NEFT and
RTGS.
How
to find IFSC Code?
Ways
to find IFSC codes
- IFSC code can be found
on cheque leaf and bank passbook of the respective bank.
- Banks and respective
branch list of IFSC codes can be obtained from Reserve Bank of India’s
website.
- The IFSC code of a
particular bank can also be found on the banks’ official website.
Benefits
of IFSC Code
Benefits
of IFSC Code are :
- Helps to identify a
Bank and its respective branch
- Eliminates errors in
the process of fund transfer
- Transfers done with
IFSC such as NEFT, RTGS and IMPS are accurate
What is
MICR Code
MICR
or Magnetic Ink Character Recognition Code is a 9 digit code used for faster
processing of cheques. MICR number is also unique for every bank branch, hence
it helps in uniquely identifying the bank and branch participating in an
Electronic Clearing System (ECS). MICR Code like IFSC is a combination of 3
essential components:
- The first 3 digits represent
the city code.
- The middle 3 represent the
particular bank code.
- The last 3 digits
represent the specific branch code
Benefits
of MICR Code
Benefits
of MICR Codes are:
MICR
code enables efficient, quick and error-free processing of cheques. This is
possible with magnetic ink, reading machines and technology used in MICR.
Difference
between IFSC and MICR code
Magnetic
ink character recognition code (MICR) is a technology that enables faster
processing of cheques by recognizing unique characters printed on the cheque.
MICR consists of a 9 digit code. The
first three digits of the MICR code represent the city, the next three give the
bank code and the last three digits denote the branch of the bank. Similar to
an IFSC code, every branch of a bank has a specific MICR code. While IFSC is
used for online fund transactions, MICR is used for cheques.
Let’s
understand the difference between IFSC and MICR
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