UAE will use Image Check Clearing System to pay

In UAE an electronic image based check clearing system was introduced by the Central Bank. The Image Check Clearing System (ICCS), the newly launched product, represents the modern way of processing traditional paper based payments instruments.

With ICCS fully electronic clearing of check regardless of where they are presented becomes possible. At the beginning the system will clear checks within a maximum of 36 hours which is to be reduced at a later stage.

Initially the new system is to be stored for ten years and once the system has been operational for some time the period is expected to extend. A check archive facility at the Central Bank will be available to all banks in the UAE.

Previously banking industry made forecasts about the demise of checks but instead they remain one of the main payment instruments in most countries. Thus the ICCS is just the way of processing traditional paper based payments instruments on an up-to-date level.

ICCS represents a major step forward in the implementation of the Federal Government Strategy to use electronic systems and technology to improve speed, efficiency and security of transactions conducted in the UAE.