Real-Time-Gross-Settlement (RTGS transactions) are operational round the clock from today. Earlier the Reserve Bank of India (RBI) has announced that that this will provide a fillip to India's digital payments initiative.
Here's all you need to know about the RTGS system:
1) RTGS system is used only for high value transactions. The minimum amount for RTGS transactions is Rs. 2 lakh. There is no maximum limit.
2) With the new changes, RTGS will be available for customers round the clock, however, there is a slight loophole in this. There will be an interval between the end of the day and start of the day, whose timings will be announced through the RTGS system.
3) For RTGS transactions, generally, funds are credited instantly. The bank will ideally credit the money within a 30 minute time frame.
4) RTGS transactions undertaken after normal banking hours are expected to be automated using 'Straight Through Processing (STP)' modes.
5) Members are further advised to spread the information on the extended availability of RTGS to all their customers.
6)This directive is issued under Section 10 (2) read with Section 18 of Payment and Settlement Systems Act, 2007 (Act 51 of 2007).
7) RTGS transactions, unlike NEFT transactions, are settled individually.
8) RTGS facility is not available at all banks. These services can be availed only at RTGS-enabled banks.
9) Till now the RTGS transaction facility was available for customers from 7.00 am to 6.00 pm on all working days of a week, except the second and fourth Saturdays of every month.
10) From July 2019, RBI stopped levying charges on transactions through NEFT and RTGS, with an aim to promote digital transactions in the country.