– At the end of the day the teller should account for the cash he has in his box.
– It is not unusual, at the end of the day for a teller to have a difference. A person may
have been paid more or less money or the teller may have received more or less money.
This is known as “unders or overs”. In some banks tellers are expected to make good any
“unders”. In others no action is taken apart from a record of unders and overs. At the end
of a month, the net amount is either added or deducted from cash and taken to either
income or expenses as appropriate.
– The practice of what should be done at the end of a day varies from bank to bank. In
some banks the money is returned to the cashier whereas in others the box is not emptied
every day but is replenished after taking into account the net inflow/ outflow.
– At the end of the day cashiers perform a bundle check to satisfy themselves that all
money held can be accounted for.
– Excess Money
• If the branch has more money than it requires it would surrender the extra money that it
has either to the Reserve Bank or to another bank with whom it has a relationship or to
the bank’s currency chest branch.
• Large banks and those that have several branches in a city often have a currency chest.
This is technically money of the Reserve Bank that the bank keeps on behalf of the
• Notes refers to currency notes issued by the Reserve Bank of India. This is legal tender
and are in several denominations.
• The RBI has issued instructions that notes must not be stapled. This was because earlier
banks had the habit of awkwardly stapling the notes and binding bundles with multiple
staples. The result was that it was very difficult to separate the notes and the multiple
stapling also resulted in the notes tearing.
Mutilated/ soiled notes
• If mutilated notes are presented banks should accept them if they are not in more than
two pieces and no essential feature of the note is missing. Both the pieces should be of the
same note and the complete num