Coimbatore: In order to provide a thrust to digital funds movement, the Reserve Bank of India (RBI) has decided to remove charges levied by them for transactions processed in the RTGS and NEFT systems.
Coimbatore: In order to provide a thrust to the digital funds movement, the Reserve Bank of India (RBI) has decided to remove charges levied by them for transactions processed in the RTGS and NEFT systems.
As part of its monetary policy review held on June 6, Thursday, the RBI announced in the Statement on Developmental and Regulatory Policies to remove charges for payments via NEFT and RTGS.
Asking the banks to pass on the benefits to the customers, the RBI has confirmed that payments via NEFT and RTGS would become either free or charges would be drastically reduced.
Presently, RBI levies minimum charges on banks for transactions routed through its Real Time Gross Settlement System (RTGS) for large-value instantaneous fund transfers and the National Electronic Funds Transfer (NEFT) System for other fund transfers.
In turn, the banks pass on the burden of RBI's charges to the customers. With the recent announcement to revoke the charges, the banks will be required to pass these benefits to their customers.
It is expected that an official notification from RBI to all banks will be issued in a week's time.