What is micr code in cheque

MICR (Magnetic Ink Character Recognition) code is a unique 9-digit numeric code printed at the bottom of a cheque leaf, typically next to the cheque number. It facilitates the automated processing and clearing of cheques by using special magnetic ink that can be read by machines. The 9-digit code is divided into three parts:

• First 3 digits: Represent the City Code (aligned with the PIN code).
• Middle 3 digits: Represent the Bank Code.
• Last 3 digits: Represent the specific Branch Code.

This technology ensures faster transactions and reduces manual errors and fraud in the banking system.