Reserve Bank of India
Q: What is Bank Passbook/Statement of
Account?
Ans: Statement is a record of all money
going into and coming out of your account over a period of time.
Bank statements can be accessed through Net
Banking, Mobile Banking APP, online or on paper.
Your statement will show your balance at a
given time and the money you have available to take out of the account.
Reserve Bank of India’s Circular No RBI/2016-17/326
DBR.No.Leg.BC.76/09.07.005/2016-17, dt June 22, 2017, highlights the basic details
which have to reflect in the Bank Account Passbook/Statement of Account .
Illustrative narrations to be recorded in
the Statement of Account/ Passbook
Two categories of transactions reflect in
the Bank Account Passbook/Statement of Account - Debit Category and Credit
Category
Debit
means withdrawal and Credit means deposit
I. Debit
entries
a)
Payment to third parties
(i)
Name of the payee
(ii)
Mode – Transfer, clearing, inter-branch, RTGS/ NEFT, cash, cheque (number)
(iii)
Name of the transferee bank, if the payment is made through clearing/
inter-branch transaction/ RTGS/ NEFT
b)
Payment to ‘self’
(i)
Indicate “Self” as payee
(ii)
Name of the ATM/ branch if the payment is made by ATM/ another branch
c)
Issuance of drafts/ pay orders/ any other payment instrument
(i)
Name of the payee (in brief/ acronym)
(ii)
Name of the drawee bank/ branch/ service branch
d)
Bank charges
(i)
Nature of the charges – fee/ commission/ fine/ penalty etc.
(ii)
Reasons for the charges, in brief – e.g. return of cheque (number), commission/
fee on draft issued/ remittance (draft number), cheque collection charge
(number), issuance of cheque book, SMS alerts, ATM fees, additional cash
withdrawals, etc.
e)
Reversal of wrong credits
(i)
Date of the original credit entry reversed
(ii)
Reasons for reversal, in brief
f)
Recovery of instalments of a loan/ interest on loan
(i)
Loan account number
(ii)
Name of the Loan account holder
g)
Creation of fixed deposit/ recurring deposit
(i)
Fixed Deposit/ Recurring Deposit Account/ Receipt number
(ii)
Name of the Fixed Deposit/ Recurring Deposit Account holder
h)
Transactions at POS
(i)
Transaction date, time and identification number
(ii)
Location of the POS
i)
Any other (i) Provide adequate details on
the same lines as mentioned above.
Note: In case of single debit in account with
multiple credits, the payee name/ account number/ branch/ bank shall not be recorded.
However, the fact of “multiple payees” will be indicated.
II. Credit
Entries
a)
Cash deposit
(i)
Indicate that it is a “cash deposit”
(ii)
Name of the depositor – self/ third party
b)
Receipt from third parties
(i)
Name of the remitter/ transferor
(ii)
Mode – Transfer, inter-branch, RTGS/ NEFT, cash, etc.
(iii)
Name of the transferor bank, if the payment is received through inter-branch
transaction, RTGS/ NEFT
c)
Proceeds of clearing/ collection/ draft etc. paid
(i)
Name of the draft issuing bank
(ii)
Date and number of the cheque/ draft
d)
Reversal of wrong debits (including charges)
(i)
Date of the original debit entry reversed
(ii)
Reasons for reversal, in brief
e)
Interest on deposits
(i)
Mention if it is interest paid on the Savings Account/ Fixed Deposit
(ii)
Mention the respective Fixed Deposit Account/ Receipt Number if it is interest
paid on Fixed Deposit(s)
f)
Maturity proceeds of fixed deposit/ recurring deposit
(i)
Name of the Fixed Deposit/ Recurring Deposit holder
(ii)
Fixed Deposit/ Recurring Deposit account/ receipt number
(iii)
Date of maturity
g)
Loan proceeds (i) Loan account number
h)
Any other (i) Provide adequate
details
The operative date of the circular is
not mentioned, this means that the banks have to implement these changes immediately
Extract
from: BCSBI Code of Banks Commitment to
Customers
Quote:
Statements:
To help you manage your account and check entries in it, we will provide you
with a monthly statement of account unless you have opted for a pass book.
Unquote:
Reserve Bank of India vide Paragraphs
6 and 7 of Circular DBOD.No.Leg.BC.74/09.07.005/2003-04 dated April 10, 2004 had
advised banks to avoid inscrutable
entries in passbooks/ statements of account and ensure that brief, intelligible
particulars are invariably entered in passbooks/ statements of account with a
view to avoiding inconvenience to depositors.
However, account-holders have
approached Reserve Bank of India
Statement of Accounts not only assists
account holders to keep a track of thief financial transactions but also assist
third-parties to arrive at the financial position of the account holders.
Hence it is of utmost importance that
the Transactions Details in Bank Account Passbook/Statement of Account are
legible and make sense to the reader. The clearer are the transaction details,
the less account holders will approach Bank staff/Call Centre for clarity.
Additional specific guidelines::
NACH:
As per NPCI NACH Circular dt October 05,
2016, Sponsor Banks have to provide ‘User Name’, and ‘User Ref No’, in the
transaction file. This will enable Destination Banks to consume these details and
ensure that the same reflect in the account holders Passbook/Statement of
Account.
NEFT:
As per RBI NEFT procedural guidelines, beneficiary
has to be advised of the Receipt of Funds in his/her bank account. The Account
Statement / Pass Book entry or any online messaging system shall indicate
briefly the source of funds as well.
For this purpose, the mandatory field 6091
which contains the remitter's name shall be picked up for the source of credit
and information contained shall be printed in the Account Statement / Pass
Book. Banks originating transactions shall ensure proper and meaningful details
are provided in this field.
Description
of field 6091 is:
M 6091
Sending customer a/c name
50x Sender's account name
Sender
to be advised in Case of NEFT Returns - If the beneficiary specified in the
sender's payment instruction fails to get payment through the NEFT system for
some valid reasons, the sender shall be informed immediately after the sending
bank gets the returned NEFT.
The originating bank shall provide the
description “NEFT-Return” in the pass book / account statement of the
originator whose NEFT transaction is returned.
Additional Reading
01) ‘Make bank statements
less cryptic’
02)
A PAPER TO PROVIDE MEANINGFUL
INFORMATION IN THE BANK PASSBOOK/ ACCOUNT STATEMENTS
03)
History
of Passbook
