RTGS NEFT

RTGS / NEFT RTGS (Real Time Gross Settlement) and NEFT (National Electronics Funds Transfer) are electronic payment platforms of Reserve Bank of India which provide transaction between two banks.

REAL TIME GROSS SETTLEMENT SYSTEM (RTGS)

RTGS system is a funds transfer mechanism where transfer of money takes place from one bank to another on a "real time" and on "gross" basis. This is a fast money transfer system through the banking channel. Settlement in "real time" means payment transaction is not subjected to any waiting period. The transactions are settled as soon as they are processed. "Gross settlement" means the transaction is settled on one to one basis without bunching with other transactions.

NATIONAL ELECTRONIC FUND TRANSFER (NEFT)

National Electronic Funds Transfer (NEFT) system is a nationwide funds transfer system to facilitate transfer of funds from any bank branch to any other bank branch. The system uses the concept of centralized accounting system and the bank's account that is sending or receiving the funds transfer instructions, gets operated at one centre

Minimum / maximum amount stipulation for RTGS / NEFT transaction: It is as per RBI guidelines.

• The essential information that the remitting customer has to furnish is
  • Beneficiary details such as beneficiary name and account number.
  • Name and IFSC of the beneficiary bank branch.

IFS Code (IFSC); Different from MICR code :
Indian Financial System Code (IFSC) is an alpha numeric code designed to uniquely identify the bank-branches in India.