Ostroff, Fair and Company
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What is Electronic Clearing Service and how does it work?


i am getting confused as to how RBI manages this system, does it approach banks, if yes, then how?

They approach them directly. There are a lot of companies that offer this service and they are all competing for the business. SO RBI has a sales force that works on these relationships full-time. Often they hire folks from a bank they want to get an account with so that they can have connections at a particular bank.
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