RTGS & NEFT

CA Sanat Pyne (F.C.A. & M.COM) (20102 Points)

05 October 2010  

 

Real Time Gross Settlement System (RTGS)

Real Time Gross Settlement System (RTGS), is a modern, robust, integrated payment and settlement system. RTGS is a system whereby the Banks and Financial Institutions maintaining accounts with RBI can transfer funds to one another on an immediate, final and irrevocable basis during business hours.

The Facility can be used for Fund Transfer to other Bank on behalf of the customers. This is R41 transaction and funds are transferred by debiting customer’s account to the destination account of other participating bank directly without any manual intervention. For this purpose correct destination account number and IFSC code of the destination bank / branch is required from the customer availing this facility.
 

Eligibility Criteria For Customer Transactions

·         Fund Transfer through RTGS can be availed by the customers who maintain their operative accounts viz., Savings Bank, Current Account. This facility can also be allowed to CC / OD account etc., subject to ensuring end use of funds.

·         Outward / Inward remittance facility under RTGS is offered to the customers of all our branches.

·         This facility is not extended to Non - Customers.

·         This facility is not available to customers against cash payment.

 

Benefits of the System for the Customer

·         Pan Indian reach of all banks.

·         Faster fund transfers.

·         Operational convenience.

·         Cost effectiveness.

 

Minimum Transaction Amount for Fund Transfer is Rs.1.00 lac.

There is no Maximum limit for transaction amount.

Customers have to submit a request by filling up a form available in all CBS Branches along with the cheques/Debit instruction to the branch. The customer has to inform the beneficiaries account number, Name and IFSC code the Bank/ Branch where the funds are to be remitted.

IFSC (Indian Financial System Code) is an eleven digit code given to each branch of all banks which are participating in RTGS. The list of the branches participating in RTGS is also available in RBI’s website www.rbi.org.in


Customer Transaction : Operating Session at Branches
Monday to Friday – 9.00 hrs. to 16.30 hrs.
Saturday – 9.00 hrs. to 12.00 hrs.

CHARGES
The details of the charges to be levied are as under:

 

Type of Transaction

Charges

Inward Remittance

Not Prescribed.

Outward Remittance

Rs.1 Lakh to 5 lakh- not exceeding Rs. 25 per transaction.

Rs. 5 lakh and above- not exceeding Rs.50 per transaction.

 

 

 

 

 

NATIONAL ELECTRONIC FUNDS TRANSFER(NEFT)

 
 

 

 

Introduction

 

Reserve Bank of India has introduced a system called The Reserve Bank of India National Electronic Funds Transfer System which may be referred to as NEFT System, for participating banks and institutions with the required system of computer and communication network through which funds transfer operation would take place. Our bank is one of the participants in the above system. Presently, our all the 1402 Service Outlets are enabled to offer NEFT facilities to their customers.

 

 

Objects

 

The objects of the NEFT System are:

 

·         To establish an Electronic Funds Transfer System to facilitate an efficient, Secure, economical, reliable and expeditious system of funds transfer and Clearing in the banking sector throughout India, and

·         To relieve the stress on the existing paper based funds transfer and clearing system.

 

 

Eligibility Criteria For Customer Transactions

 

·         Fund Transfer through NEFT can be availed by the customers who maintain their operative accounts viz., Savings Bank, Current Account. This facility can also be allowed to CC / OD account etc., subject to ensuring end use of funds.

·         Outward / Inward remittance facility under NEFT is offered to the customers of all our CBS branches.

·         This facility is not extended to Non - customers.

·         This facility is not available to customers against cash payment.

 

 

Procedure for availing the facility

 

1.    Customers have to submit a request by filling up a form available in all CBS Branches along with the cheques/Debit instruction to the branch.

2.    The customer has to inform the beneficiaries account number, Name and IFSC code the Bank/ Branch where the funds are to be remitted.

3.    NEFT transactions may be made for amounts inclusive of paisa component.

4.    There is no upper value limit for putting through an individual NEFT transaction.

5.    IFSC (Indian Financial System Code) is an eleven digit code given to each branch of all banks which are participating in RTGS.

6.    The list of the branches participating in NEFT is also available in RBI’s website www.rbi.org.in

 

 

Batch Timings

Eleven hourly settlements are carried out during the day by RBI, starting from 9 am to 7 pm on all week days and five hourly settlements from 9 am to 1 pm on Saturdays.

 

The messages sent before the above batch timings shall be included in the respective settlements otherwise they shall be included in the next batch/day.

 

Charges

No Charges Prescribed for Inward NEFT.

 

 

For Outward Transactions-

 

 

Up to Rs. 1 Lakh- Not exceeding Rs. 5 per transaction.

 

 

 Rs.1 lakh and above- not exceeding Rs.25 per transaction.