What is MICR Code?

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What does MICR code mean?

MICR means Magnetic Ink Character Recognition which is known as the recognition technology of characters which are used mainly by the banking business to ease the handing out of the cheques. The characters of MICR are published in distinctive typefaces with the help of magnetic ink or with the toner. They usually contains the iron oxide. A very special machine is cast-off to read out these type of characters, and they can be easily read by the humans too.

micr-code

These types of characters are frequently printed to the bottom side of the cheques sheet. The MICR code is chiefly used by all banks for clearing the process in case to identify the division and also bank for this process of clearing. The main benefit of this organization is that contrasting related concepts just like barcodes system, the code of MICR can also be very easily notable and can read by the humans too.

How one can find the MICR Code for any Bank branch?

There are many ways to find the code but one of the easiest way to find MICR code for Indian banks is to twitch through which Bank’s the code of MICR you were looking for. You can also filter out the list of codes of MICR via State, or District and also by the City. You can also find out by the few first characters of the name of branch, their locality and address too.

Significance of Indian Bank IFSC Code:

There are two most important facilities that are introduced by the Indian bank to ease safe and fast interbank money transfers which are NEFT and RTGS. Both of these amenities could be used only with the service of a matchless code which is called as the IFSC code. The Indian bank IFSC codes contain both characters as well as numbers in code. The ifsc code is particularly issued to each of the bank which is participating in the network of NEFT and it helps in modifying all financial transfers.

The codes of IFSC codes are mainly used for the electronic transfer of the money. This ifsc code is essential as it helps in identifying the sources and also the destination of the bank while the transaction. The Indian Bank IFSC code differs as per the city in which the4 digits firstly contains the characters ‘and other are the numbers which represent the branch.

Significance of MICR code:

The MICR code is a skill which make things easier and advances the cheques in the clearing process of the banks.

  1. Each and every cheques contain a matchless bar code for the identification process.
  2. These types of codes are merely used for the ECS within the banks.
  3. The procedure of banking can be accomplished and computerized without any difficulties and misperception with the help of MICR code.
  4. As, we know many of the transactions are to be made daily therefore these types of unique codes are fairly relevant for the process of safe banking.

MICR is comparatively easy to find out the code of Indian Financial System by the authorized websites of the particular bank.