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GLOSSARY

MICR Code

✓ Last verified 14 Sep 2026
The short version MICR (Magnetic Ink Character Recognition) code is a 9-digit number identifying the bank and branch for cheque-clearing purposes - distinct from IFSC, which is used for electronic transfers instead.

Printed at the bottom of a cheque in a special magnetic ink font, the MICR code allows automated cheque-processing machinery to quickly sort and clear cheques by identifying the bank and branch. It serves a similar identification purpose to IFSC, but for physical cheque clearing specifically, rather than electronic transfers - the two codes exist for different clearing systems and aren't interchangeable.

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