Your bank is going to change THESE rules related to money transactions from next month
New Delhi : The Reserve Bank of India (RBI) announced to make real time gross settlement (RTGS) available 24x7x365. This decision will be applicable from December 2020. It means that now you will be able to transfer money round the clock through RTGS. Currently the RTGS system is available from 7 am to 6 pm on all working days of the week except the second and fourth Saturdays of the month.
Last year, NEFT was made available 24 hours
Earlier in December last year, the National Electronic Fund Transfer (NEFT) system was made available 24x7x365. RBI said in its policy that the system has been functioning smoothly since that time. According to the central bank, efforts to support the goal of global integration of Indian financial markets, efforts to develop India’s international financial centers, and to provide large-scale payment flexibility for domestic corporates and institutions.
Fund transfer can be done instantly through RTGS i.e. Real Time Gross Settlement. It is used in large transactions. Amount cannot be transferred below Rs 2 lakh through RTGS. It can be used both online and through bank branches. There is also no fund transfer fee. But in the branch, there will be a fee for transferring funds from RTGS.
The Reserve Bank’s Monetary Policy Committee has not made any change in the interest rates. The 6-member Monetary Policy Committee headed by Reserve Bank of India Governor Shaktikanta Das has decided not to change the interest rates. Repo rate remains at 4%.