RBI governor Shaktikanta Das today said that the RTGS system of fund transfer will be available round-the-clock from December. Under RTGS, the minimum transfer amount is ₹2 lakh and the facility is available only during working hours of banks.
RBI governor Shaktikanta Das today said that the RTGS system of fund transfer will be available round-the-clock from December. Under RTGS, the minimum transfer amount is ₹2 lakh and the facility is available only during working hours of banks.
Inter bank transfer enables electronic transfer of funds from the account of the remitter in one bank to the account of the beneficiary maintained with any other bank branch. There are two systems of Inter Bank Transfer – RTGS (real-time gross settlement) and NEFT. Both these systems are maintained by Reserve Bank of India.
Inter bank transfer enables electronic transfer of funds from the account of the remitter in one bank to the account of the beneficiary maintained with any other bank branch. There are two systems of Inter Bank Transfer – RTGS (real-time gross settlement) and NEFT. Both these systems are maintained by Reserve Bank of India.
In RTGS system, the beneficiary bank branch receives the funds in real time as soon as funds are transferred by the remitting Bank. The beneficiary Bank has to credit the beneficiary’s account within two hours of receiving the funds transfer message.
"In December 2019, the RBI made available the National Electronic Funds Transfer (NEFT) system on a 24x7x365 basis and the system has been operating smoothly since then. In order to facilitate swift and seamless payments in real time for domestic businesses and institutions, it has been decided to make available the RTGS system round the clock on all days from December 2020," the RBI chief said.
"India will be among very few countries globally with a 24x7x365 large value real time payment system. This will facilitate innovations in the large value payments ecosystem and promote ease of doing business," he said.
National electronic funds transfer (NEFT), a retail payment system operated by the RBI, became a 24x7 facility from last year.
IMPS is a real-time payment service available even on holidays with an upper limit on transactions of ₹2 lakh, but no lower limit.