ECC - Electronic Cheques Clearing System
Launch Date: November 2007
System Participants: Banks
Key Service: Processing cheque payments
Electronic clearing is the process of exchanging information, which includes data, images, and codes of cheques by electronic means through the Electronic Clearing Center at the Central Bank of Jordan and determining the net balances resulted from this process at a specific time.
The Central Bank of Jordan provides the service of cheques clearing for licensed banks in accordance with the Central Bank of Jordan Law No. 23 of 1917 and its amendments in paragraph (B) of Article (37).
The Central Bank started providing manual cheque clearing services up to1997 then moved to automated clearing up to 2007. Afterward, this service moved further into the great shift of providing electronic clearing and the implementation of collecting cheques on the same day at the banks' level as of the 4th of November 2007 based on the time of the cheque deposit.
Benefits of implementing Electronic Cheques Clearing System:
- Knowing prior to the specified time the bank’s financial position
- Optimal usage of funds
- Getting accurate information, statistics and fast archiving system for cheques
- Minimizing risks for transferring paper cheques to and from banks
- Accessibility to cheques copies and data quickly and easily
- The system works 24-hours a day and therefore there is plenty of time to send cheques regardless of the volume
- Collect the cheque on the same depositing day
- Have the knowledge of whether the cheque is accepted or rejected on the same day
- Debit the cheque amount in the beneficiary’s account no the same day, based on depositing time
- Increase confidence in cheques
Legal cover for the system’s operations:
- The Central Bank of Jordan Law
- Electronic Transaction Law
- Rules, instructions, and regulations governing the work of Electronic Clearing
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