Media Release Cheque Clearing Times

The Payments System Board welcomed the announcement today of new arrangements to shorten cheque clearing times. The Board acknowledges the effort and resources that have been devoted to this work by the Australian Payments Clearing Association and its members.

Customers have been calling for faster access to the proceeds of cheques for many years. The Reserve Bank has long shared their concerns. The new electronic system for clearing and dishonouring cheques will allow individual banks (and other deposit takers) to give better service to their customers.

With appropriate internal systems and procedures, banks would be able to give clear funds for most cheques two business days after they have been deposited. That is, funds for a cheque deposited on Monday would be available on Wednesday. This three-day clearing cycle would take Australia close to world's “best practice”. The Board encourages all banks (and other deposit takers) to work towards achieving this standard as soon as possible.