RBI Introduces Beneficiary Account Name Look-up Facility In RTGS, NEFT Payment

Beneficiary Account Name Look-up facility will enable the remitter to verify the name of the account holder before effecting funds transfer to him/her through RTGS or NEFT.

New Delhi: The Reserve Bank of India (RBI) has introduced Beneficiary Account Name Look-up Facility akin to UPI and IMPS payments for RTGS or NEFT transactions.

At present, UPI and Immediate Payment Service (IMPS) provide a facility for the remitter of funds to verify the name of the receiver (beneficiary) before executing a payment transaction, said RBI.

"It is now proposed to introduce such a facility for the Real Time Gross Settlement System (RTGS) and the National Electronic Funds Transfer (NEFT) system. This facility will enable the remitter to verify the name of the account holder before effecting funds transfer to him/her through RTGS or NEFT. This will also reduce the possibility of wrong credits and frauds," RBI Governor Saktikanta Das while announcing the bi-monthly monetary policy said.

Also, the RBI has announced a couple of limit hike for UPI transactions. RBI has announced to increase UPI Lite wallet limit from Rs 2,000 at present to Rs 5,000. Further the central bank has said that UPI123Pay  per-transaction limit will be hiked from Rs 5,000 to Rs 10,000.

The Reserve Bank of India kept the key interest rates unchanged for the 10th consecutive time on Thursday. RBI Governor Shaktikanta Das, announcing the outcome of the three-day Monetary Policy Committee (MPC) meeting said that the repo rate has been kept unchanged at 6.5 percent.