Understanding UTR: the Unique Transaction Reference Number
What is UTR (Uniform Transfer Rate)?
UTR is the full form for Unique transaction reference. This is an alphanumeric number that uniquely identifies financial transactions in India. The banks generate this code for each transaction that is made using electronic payment system, such as NEFT and RTGS. Imagine it as a digital signature for every transaction. This allows you to track and verify each financial movement.
The UTR Number Structure
UTR numbers can range from 16 to 22 characters depending on the transaction type and bank system. For example, NEFT transactions typically have a UTR number of 16 characters, while RTGS transaction may have up to 22. A UTR number is composed of:
- Bank code: the first few characters are the bank’s codes.
- Transaction date: The UTR number is broken into segments that indicate the date.
- Unique Identification: All the remaining characters are used to create a unique transaction identifier.
For ex: a UTR number might look like this: HDFC0123456789012345, where HDFC is the bank code, followed by the transaction date and a most unique identifier.
UTR: Importance
It is important to have the UTR for several reasons.
- Traceability : It allows customers and banks alike to verify and track transactions. It is very helpful in the case of disputes and discrepancies.
- Proof Of Payment : The UTR serves as a proof for payment. This can be important to businesses or individuals.
- Auditing and Compliance UTR numbers play a vital role in maintaining accurate financial documents and complying with tax regulations.
Find your UTR number
It is easy to find your UTR. Here are some methods.
- Bank Statements and Passbooks : You will find the UTR number in your bank statement or passbook next to each transaction.
- Internet Banking Log into your bank’s online banking portal. Navigate to the Transaction History section. Each transaction will have the UTR number.
- Mobile Banking Most banking applications provide detailed transaction history, including UTRs.
UTR: Common Uses
UTR Numbers are used for various types of transactions.
- NEFT Transactions When you transfer money using NEFT, an UTR number is created to uniquely identify the transactions.
- RTGS Transactions : The UTR number is used to ensure traceability and verification for high-value transactions that are processed in real time.
- Immediate Payment Services Transactions also generate UTR numbers allowing instant fund transfers.
UTR Full-Form FAQ
Q1. What is UTR full form?
A. UTR Full form is Unique Transaction Reference. It is a (Sixteen) 16 digit alphanumeric number.
Q2. What is the significance of UTR?
A. Both the sender of the financial transaction and the recipient will find the UTR to be an important document. The UTR is a record of a transaction that can be used for verification. It is required to resolve disputes and claim refunds.
Q3. How do you find your UTR number?
A. After a transaction has been completed, the UTR will be provided by your bank or payment gateway. The UTR can be found on your bank statement or receipt.
Q4. What is the difference between UTR (Utilities Transfer) and NEFT (Network Equivalent Transmission?
A. NEFT allows you to transfer money between Indian bank accounts. UTR is a unique code generated by NEFT transactions.
Q5. What is UTR and RTGS difference??
A. RTGS allows you to move money between bank accounts within India. UTR is a number that is generated whenever an RTGS transfer is initiated.
