The customers of commercial banks will now benefit from the reduced times on cheque clearance.

This comes after a review of the present arrangements by the Association of Banks.

Executive Secretary of the Association Rasiklal Jogia said they have carried out a review of time allowed to their member banks for clearing cheques deposited into accounts and time limits stipulated for return of dishonored cheques.

He said the banks have agreed that if a cheque drawn at a branch of a bank represented in Viti Levu is dishonored, it must be returned by the third working day and no later than 3pm from when the cheques were exchanged by banks.

He said the same rule applies for the banks in Vanua Levu however the time period given is four working days.

Jogia said that cheque clearances have been taking as long as 7 working days and hopes that this initiative will be well received by the community which comes into effect from 21st September.