Mumbai, December 14: The Real-Time Gross Settlement System (RTGS) for high-value transactions is now available round-the-clock. Shaktikanta Das took to Twitter on Sunday and said, "RTGS facility becomes operational 24X7 from 12.30 am tonight. Congratulations to the teams from RBI, IFTAS and the service partners who made this possible."
It also makes India one of the few countries in the world to operate the system 24X7. The minimum amount to be remitted through RTGS is Rs 2,00,000. In December 2019, RBI had made the national electronic funds transfer (NEFT) available 24X7. RTGS Money Transfer FAQs: From 'What Are the RTGS Charges And Timings' to 'What is Difference Between RTGS And NEFT', Here Are Some Frequently Asked Questions Answered.
From July 2019, the RBI stopped levying charges on transactions through NEFT and RTGS, with an aim to promote digital transactions in the country. The decision by the RBI is believed to be a business-friendly move which would make the payment ecosystem more efficient. The RTGS system is usually used for large value transactions.
How is NEFT different from RTGS?
NEFT is a nation-wide payment system facilitating one-to-one funds transfer. Under this Scheme, individuals can electronically transfer funds from any bank branch to any individual having an account with any other bank branch in the country participating in the Scheme. On the other hand, the RTGS system is primarily meant for large value transactions, starting from Rs 2 lakh.
(The above story first appeared on LatestLY on Dec 14, 2020 09:06 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).