UTR, or Unique Transaction Reference, is a unique digital signature assigned to each financial transaction occurring in India. Even though it looks like a simple numeric/alphanumeric code, UTR acts as a GPS of your transaction and saves you from stress regarding the effectiveness of your transaction. A UTR number is created, encapsulating the summary and status of that transaction. 

What is a UTR Number?

The bank creates a UTR number when initiating a transaction. Whether you make a fund transfer through NEFT, RTGS, IMPS, or UPI, this number is present on your bank statement in different names. It either appears as ‘UTR number’, ‘reference number/ID’, ‘transaction number/ID’ or ‘journal number’.

Purposes of a UTR Number

1. Tracing Transaction Status

If a money transfer takes more time than usual the customer and bank can check its progress using the UTR number. The beginning-to-end data stored in it facilitates both monitoring of current transfers as well as verification of older transactions. 

2. Proof of Process Transparency

Money is always a source of stress, and especially while transferring large amounts, it doubles. So having a UTR code helps customers to evaluate the efficiency of banks. This transparency also enables banks to maintain proper financial records and resolve disputes if any. 

UTR number stands as proof for crucial payments like property sales, fee remittance, and loan settlement. If any issues arise between the sender and the beneficiary, this unique code stands in between as a witness.

3. Security and Tax Compliance

UTR number prevents chances of fraudulent transactions and tax evasion. As all transactions are recorded under the UTR number, Income Tax officials and auditors can scrutinise the fairness of transactions and spot financial crimes of any sort.

Importance in International Money Transfer

Foreign outward remittance through third-party payment channels is not done in a single stretch. Initially, you shall do a bank transfer of the required amount to the service provider. Later, they send the funds via wire transfer to the beneficiary abroad. 

So, that said, now you can of course guess the role of the UTR number. If not, let me explain it to you.

1. For instance, while doing overseas money transfers through ExTravelMoney, our customer care officials shall instruct you to send the funds to our registered RBI-authorised forex vendor.

2. Along with this, we shall also request you to send the bank statement of the transfer. 

3. The UTR number recorded in the bank statement shall help us as well as you to track the transaction status. You can check whether the funds reached us successfully or not.

4. Therefore, with the help of the UTR number, you can assess the efficiency of financial dealings with ExTravelMoney.

Common Ways to Find UTR Number

Net Banking or Banking Mobile App

1. Visit your net banking website or app.
2. Move on to transaction history or account statement.
3. Click on the required transaction.
4. The UTR number can be spotted in the particular transaction details.

SMS/E-mail

If you have opted for SMS or e-mail intimation from your bank, you shall receive notifications regarding your transactions with the reference number.

Bank Statement/Passbook

While doing transactions directly at the bank, your passbook shall record your transactions and an acknowledgement letter is issued. The UTR number can also be spotted in these recordings.

2 Ways to Check Transaction Status with a UTR Number

1. On your net banking website or banking mobile app, go to the transaction history section. Then, search for the transaction using the UTR number to retrieve its details and current status.
2. Contact your bank customer service and share the UTR number. They shall fetch the information regarding payment status and report it to you.

Also Read: 8 Mistakes To Avoid When Transferring Money From India

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