After NEFT, RTGS transactions to Become 24×7 Soon
Real-Time Gross Settlement transactions can be carried out 24×7 from 1st December.
RTGS transactions are widely used by businesses on a regular basis.
RTGS, short for Real-Time Gross Settlement, is a type of funds transfer system that allows larger funds to be transferred to a beneficiary in real-time. The minimum amount for an RTGS transaction is Rs. 2 lakh with no upper limit.
However, RTGS transactions could only be carried out during the working hours of the bank (on working days) in India. This greatly limited their benefits since most businesses have gone online and may operate for 24 hours.
RBI recently announced that RTGS transactions will become available round the clock from 1st December 2020. This will put India in a small group of countries with a robust large value real-time payment system.