RBI Delays Phase II of Continuous Cheque Clearing, Revises CTS Hours

The central bank says the pause gives lenders time to fix operational issues from Phase I, with presentation and confirmation now set at 9 a.m.–3 p.m. and 9 a.m.–7 p.m.

Overview

Implementation of Phase II, earlier slated for January 3, 2026, has been postponed until further notice to let banks streamline operations.
Phase I remains in force with drawee banks required to confirm items by the end of the 7 p.m. confirmation session or face deemed approval for settlement.
The RBI has reset daily windows so cheque images can be presented between 9 a.m. and 3 p.m., with confirmations accepted from 9 a.m. to 7 p.m.
The new continuous model already replaces batch-based cycles with near real-time cheque image exchange during business hours, speeding funds availability.
Planned Phase II features—T+3-hour item expiry, hourly settlements from 11 a.m., and one-hour payout by presenting banks—are on hold pending further guidance.