In this article, we’re sharing what the “MICR Code” means when banking in India.
This will include a clear explanation of what the MICR is, where you can find your MICR, and how the MICR compares to other transfer numbers in India. We will also answer common questions we receive about the MICR below.
This is part of our free series on banking in India, covering topics like opening an NRI bank account and the basics of banking in the country.
Feel free to use the table of contents to jump ahead to the sections most relevant to you.
Table of Contents
- MICR Code Means
- IFSC Code vs MICR
- Where Can I Locate the MICR Code for My Bank?
- Frequently Asked Questions
- Do You Want Help Opening Bank Accounts?
MICR Code Means
MICR Code means Magnetic Ink Character Recognition. It is a unique identifier issued by the Reserve Bank of India (RBI) to the branches of banks that participate in Electronic Clearing Services (ECS). The MICR is nine digits and is unique to each branch.
What Is MICR Code Used For?
An MICR Code is used for arranging automatic deposits and withdrawals from bank accounts in India. It identifies the specific bank and branch of an account. Then in combination with the account number and correct authorization, automatic deposits and withdrawals are sent.
Do You Want Our Free Non-Resident Banking Guide?
Sign up here to receive our Free Non-Resident Banking Starter Guide and weekly updates on the best account opening options available:
Where Can I Locate the MICR Code for My Bank?
You can locate the MICR Code for your bank at the bottom of any cheque in the area known as the cheque leaf. The MICR is a nine-digit identifier, found between the cheque number and your bank account number.
IFSC Code vs MICR Code
The main difference between an IFSC Code and a MICR Code is that IFSC refers to the 11-digit Indian Financial System number (IFSC) while MICR refers to the 9-digit Magnetic Ink Character Recognition number.
Additionally, branches of banks in India receive an IFSC for identification through the National Electronic Funds Transfer (NFET) network while branches of banks receive a MICR to communicate payments through the Electronic Clearing System (ECS).
Frequently Asked Questions
Below are a few of the most common questions we receive from people looking into what MICR means. If you have further questions you would like to ask our team, don’t hesitate to get in touch.
Is the MICR Code Unique?
The MICR Code is unique to the specific branch issuing cheques. MICR is on the bottom of the cheque with the cheque number and account number. The MICR is nine digits.
What Does the MICR Code Mean?
The MICR Code means Magnetic Ink Character Recognition. This refers to a unique nine-digit code issued to branches of banks in India that participate in the Electronic Clearing Services Credit Scheme, allowing customers to arrange electronic clearing of deposits and withdrawals.
What Is MICR Code on Check Details?
The MICR Code found in the check details refers to Magnetic Ink Character Recognition. The MICR is used when a branch participates in the ECS Credit Scheme, allowing account holders to set up direct deposits and automated withdrawals like standing orders.
Do You Want Help Opening Bank Accounts?
If so, you can get access to GlobalBanks IQ in just a few clicks.
GlobalBanks IQ is our flagship international account opening solution. It gives you instant access to the…
+ Expert insights on which banks to choose & why
+ Step-by-step reports to open accounts in the best banking hubs
+ GlobalBanks international bank database & detailed bank profiles
+ Tried & tested banks for high-risk, offshore, & non-resident clients
+ Plus, get YOUR most pressing bank account opening questions answered by our team!
And “yes!” GlobalBanks IQ helps foreigners and non-resident individuals open bank accounts.
In fact, GlobalBanks IQ even helps non-resident, foreign & offshore entities open bank accounts.
Use the link in our menu above to learn more about GlobalBanks IQ. Or, contact us directly with any questions!
