This uses special ink which contains iron particles that can be magnetised and then read when the printed numbers passes through a MICR reading machine.
The MICR reading machine will only recognise numbers printed in a standard font using special magnetic ink. This provides a high level of security because any attempt to alter the magnetic ink printout with normal ink will be ignored.
Because it is expensive, MICR it is mainly used by banks. The account number, the cheque number and the branch number are pre-printed on a cheque.
When you receive a cheque and deposit it in your bank they print the amount and your account details on the cheque in magnetic ink.
It then sent to a clearing bank to be read by another MICR reading machine and the correct amounts are automatically transferred between accounts by computers.
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