New Delhi: Banks will now allow their consumers 24-hour National Electronic Fund Transfer (NEFT) facility from today (December 16). The bank customers will be facilitated to transfer their money online at any time as the Reserve Bank of India (RBI) allowed the 24-hour NEFT facility 365 days in a year.
The RBI's latest move will facilitate digital transactions in India and the bank customers will now be able to transfer their amounts higher than IMPS via NEFT on any day at any time. So far, the IMPS facility provided this facility on all days, but with the online transfer of Rs two lakh.
The RBI has also directed the banks to update their systems to provide NEFT facility round the clock in a smooth way.
Notably, no charges are levied on NEFT transactions as the central bank waived off all such charges. Further, there is no minimum limit on fund transfers while the maximum limit differs from bank to bank under this new facility.
Earlier, NEFT transactions were allowed between 8 am and 7 pm, while on the first and third Saturdays, it happened from 8 am to 1 pm.
After banking hours, the NEFT transactions will be automated through ‘Straight Through Processing (STP)’ modes by the banks.
According to RBI, the existing rule of crediting the beneficiary’s account or returning the transaction, within 2 hours of settlement of the respective batch, to the originating bank will continue.
Banks are expected to send confirmation messages for all NEFT credits to their customers.