RBI’s Big Changes: New rules for salary, pension and EMI payment from August 1

Today is August 1 and there are several changes that are going to take place when it comes to banking transactions. This means from now onwards you will no longer have to wait for working days for important transactions like salary, pension and EMI payments. 

RBI has amended the rules of National Automated Clearing House (NACH). Under this new rule, now you will not have to wait for the passing of Saturday and Sunday i.e. weekend for your salary or pension to be credited to your account. 

Earlier, the employees had to wait till Monday or any weekday for their salary to get credited. Last month, during the credit policy review of June, RBI Governor Shaktikanta Das had announced that customers can now avail the benefits of 24x7 Real Time Gross Settlement (RTGS), NACH on all days of the week with effect from August 1, 2021.

NACH is basically a bulk payment system which is operated by the National Payments Corporation of India (NPCI) and it facilitates various types of credit transfers such as dividend, interest, salary and pension. Apart from this, the facility of payment of electricity bill, gas, telephone, water, EMI loan, mutual fund investment and insurance premium payment is also provided. 

According to the RBI, NACH has emerged as a popular and prominent digital mode of Direct Benefit Transfer (DBT) for beneficiaries, which helps in the timely and transparent transfer of government subsidies during the current COVID-19 pandemic.

Currently, NACH services are available only on days when banks are working, but from August 1, this facility will be available on all days of the week.