Question 1

How is RTGS different from NEFT?

Accepted Answer

RTGS (Real-Time Gross Settlement) is for high-value transactions with immediate settlement, while NEFT (National Electronic Funds Transfer) works in batches and is used for smaller payments. RTGS operates in real-time, and NEFT has specific settlement times.

Question 2

Does the remitter get back the money if an RTGS transaction is not credited to a beneficiary account?

Accepted Answer

If an RTGS transaction fails, the remitter typically gets the money refunded, but the refund process may take some time based on the bank's protocols.

Question 3

What is the time taken for effecting funds transfer from one account to another under RTGS?

Accepted Answer

RTGS transactions are processed immediately, typically completed within a few hours during working hours, as they are settled in real-time.

Question 4

Can I track the RTGS transaction? Do I get any acknowledgment after the funds are successfully credited into the beneficiary's account?

Accepted Answer

Yes, RTGS transactions can be tracked via the bank’s tracking service, and an acknowledgment receipt is provided after successful crediting to the beneficiary's account.

Question 5

Which is preferable: NEFT or RTGS?

Accepted Answer

RTGS is preferable for urgent, high-value transactions, while NEFT is more cost-effective for lower amounts, with slightly delayed processing times.

Question 6

What is Real Time Gross Settlement?

Accepted Answer

Real Time Gross Settlement (RTGS) is a payment system where transactions are processed and settled individually, in real-time, without delay. It is typically used for high-value and time-sensitive transactions between banks.