The concept of Positive Pay involves a process of reconfirming key details of large value cheques. Under this process, the issuer of the cheque submits electronically certain minimum details of that cheque (like date, name of the beneficiary/payee, amount, etc.) to the drawee bank, details of which are cross checked with the presented cheque by Cheque Truncation System (CTS). Any error is flagged by CTS to the drawee bank and presenting bank, who would take redressal measures. To access the RBI circular related to Positive Pay System (PPS), please click here.

• The concept of Positive Pay introduced for all the cheque Payments above Rs. 50,000 to control the Banking frauds.
• Under this System an issuer of a cheque will have to electronically submit certain minimum details of the particular cheque(such as date,name of the benificary,payee and amount)to drawee bank.