Bulk posting is a banking function used to transfer funds or make payments to multiple bank accounts at the same time. Most bankers use it to simultaneously pay the employees’ salaries or government schemes to several accounts.
This is a computerized command used in the banking industry to reduce manual workloads. So, bulk posting is a technical term in banking functions that helps save precious time for bankers.
All banks use this method to transfer many government subsidies and benefits to the beneficiary’s account at the same time. Earlier, the bankers used to register in the register book one by one.
It took a long time, but now it has become faster to transfer money to multiple accounts. So, if you want to know more details about bulk posting, then this article will help you to know that.
What is Bulk Posting?
Bulk posting is a way for a bank to continuously credit money into multiple accounts simultaneously through a single source. So, here, the money would be in an employer’s current bank account, a government subsidy fund, or others.
The bank then debits the amount from the account and transfers it to multiple accounts through a bulk posting system to pay salaries or subsidies.
For example, there will be lakhs of beneficiaries in many government schemes like PMAY, MGNREGA, PMMY, etc. So, instead of entering the personal account number, the bank transfers funds to all the accounts at once using a bulk posting operation.
Bulk Posting Meaning
Bulk Posting means crediting money to multiple accounts simultaneously. The money is credited to several accounts from a single source in this banking process. So, a routine function of a bank involves depositing funds into multiple accounts.
For example, the government provides various subsidies through the bank and then the bank transfers subsidies to multiple beneficiaries’ accounts at once.
Therefore, debiting funds from a single source (account) and depositing it in several accounts continuously at the same time is called bulk posting.
See also – Inward Remittance Meaning
What is Bulk Posting in SBI?
SBI uses bulk posting to make payments of salary and government subsidies to multiple accounts at the same time through a single source. The SBI bank plays an essential role in this situation because its branches are available anywhere.
In the banking sector, computer-based services were first seen in SBI; thus, bulk posting was implemented. Bulk posting is a term that refers to bulk transactions from a single source to several bank accounts.
The SBI bank commonly uses it to transfer from the current bank account of the company to all employee salary accounts.
Bulk posting is a set of transactions debited from the employer’s account and credited to several employee salary accounts in SBI.
Mistakes in Bulk Posting
Usually, you must have heard many times that money gets deposited in someone’s account due to the bank’s mistake. So, the main reason for this type of mistake is bulk posting, and once this mistake is made, even the bank cannot transfer the money.
It is a serious situation; the bank has to get permission from the account holder to transfer the money. However, the Bank reserves the right to freeze the account and cannot withdraw the money.
Bulk Transaction through File Upload in SBI
To facilitate bulk transactions, OnlineSBI provides the facility to upload files containing the following financial and non-financial transactions:
- Inter and Intra Bank Fund Transfer- like – Salary Payment, Vendor Payment, etc
- Tax Payment – CBDT and CBEC
- Request for issue of demand drafts
- Beneficiaries – Adding and Removing
- Prepaid card top-up
- Direct Debit whereby suppliers debit dealers’ accounts
- Billers Registration
- Automation of file upload in the INB system
See also – What is Positive Pay System in SBI
FAQs
A: Bulk Posting is a technical term and banking system that debits funds from a single source (account) and continuously deposits them in several accounts.
A: Bulk Posting means crediting money to several accounts simultaneously. The money is credited to several accounts from a single source in this banking process.
A: Bulk posting is used by SBI to make payments of salary and government subsidies to multiple accounts simultaneously through a single source.
Conclusion
Almost all banks use this method to transfer several government subsidies, worker’s payments, and other benefits to the beneficiary’s account at the same time. Bulk posting is a technical term and uses software that saves precious time in the banking industry. So, it is used by the bank to deposit money in multiple bank accounts simultaneously.
