Home Banking And Finance Banking alert! Fund transfer via NEFT available 24x7 from today

Banking alert! Fund transfer via NEFT available 24×7 from today

New Delhi: National Electronic Funds Transfer (NEFT) service will be available on a 24×7 basis from today (December 16). In a recent notification, the central bank said, “Availability of National Electronic Funds Transfer (NEFT) System on 24×7 basis”, it has notified that facility shall be made available from December 16, 2019, with the first settlement taking place after 00:30 hours on December 16, 2019 (i.e. night of December 15, 2019).

The RBI has directed banks to not charge savings account holders for NEFT with effect from January next year. The central bank had already waived NEFT processing charges that it imposed on banks with a directive that they pass on the reduction.

Member banks have been advised to note that:

1. There will be 48 half-hourly batches every day. The settlement of the first batch will commence after 00:30 hours and the last batch will end at 00:00 hours.

2. The NEFT system will be available on all days of the year, including holidays.

3. NEFT transactions after usual banking hours of banks are expected to be automated transactions initiated using ‘Straight Through Processing (STP)’ modes by the banks.

4. The existing discipline for crediting beneficiary’s account or returning the transaction (within 2 hours of settlement of the respective batch) to the originating bank will continue.

5. Member banks will ensure sending of positive confirmation message (N10) for all NEFT credits.

6. All provisions of NEFT procedural guidelines will be applicable for NEFT 24×7 transactions as well.

Member banks are expected to keep adequate liquidity in their current account with Reserve Bank of India at all times to facilitate the successful posting of NEFT batch settlements. The member banks have also been advised to initiate necessary action and ensure availability of all necessary infrastructural requirements at their end for providing seamless NEFT 24×7 facility to their customers.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Must Read

RBI announces fresh OMO for sale, purchase of govt securities for Rs 10,000 crore each

The RBI undertakes ‘operation twist’ to manage yields in the bond market. In other words, the plan is to raise short-term yields and lower...

SBI report: ‘Card transactions decline 67% post-lockdown’

The total value of credit and debit cards transactions has decelerated from Rs 1.51 lakh crore in January 2020 to merely around Rs 50,000...

Bankers in India are more productive working from home

As banks and asset managers around the world try to figure out how they’ll manage their offices after the coronavirus pandemic, many in Mumbai...

RBI extends higher overnight borrowing facility of banks to September

The RBI, as a temporary measure, had increased the borrowing limit of scheduled banks under the marginal standing facility (MSF) scheme from 2 per...

IDBI Bank to sell 27% in insurance JV, Belgian firm raises stake to 49%

Ageas Insurance will hold 49 per cent in the venture while Federal Bank will have 30 per cent stake, with IDBI Bank holding the...
Need Help? Chat with us