MICR stands for Magnetic Ink Character Recognition. It is a technology used in banking and finance to process and authenticate checks. MICR encoding involves printing special characters on the bottom of checks and other negotiable documents using magnetic ink.

The MICR line on a check typically contains important information, including the bank’s routing number, the customer’s account number, and the check number. These characters are printed using a special MICR font, which consists of unique symbols that can be easily recognized and read by MICR readers or scanners.