Full form of MICR , What does MICR stand for ?

The Full form of MICR is Magnetic Ink Character Recognition. Magnetic Ink Character Recognition Code (MICR Code) is a character-recognition technology that is used mainly by the banking industry to recognise the originality of the document and to ease the processing and clearance of cheques and other documents. It is a technology used with the help of special ink and characters. MICR is printed on the bottom of cheques of the banks consisting of nine digits. First three digit denotes the city code, next three represent the bank code and last three tells about the branch code. This is called MICR code. Earlier, due to manual processing of cheques, it took a lot of time in their clearance. Day-by-day numbers of cheques were increasing making the processing difficult. During the mid 1950s, Stanford Research Institute and General Electric Computer Laboratory developed first system to process cheques using MICR. The advantages of MICR are; it is easily readable even if it has some stamp or signature over it, it provides a high level security as it is difficult to follow the precise ink which makes it difficult to forge the document, error rate is very small and it has a high standard demand. MICR fonts which do not fulfill these demands are rejected.