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What Is The Difference Between RTGS, NEFT, IMPS ?

In the present era in which uses of social media and different types of mobile app are becoming common among people for money transfer. But when it comes to matter to security & to transfer large amount, then we use online banking facility or use some hassle-free options provided by the bank. These are RTGS, NEFT, and IMPS. Today in this post, we will be going to discuss these three. 


There are three different ways to transfer fund through RTGS, NEFT, and IMPS but the work of all the three platforms is the same as the transfer fund. The basic difference between RTGS, NEFT, and IMPS depends upon settlement timing and amount.



  • NEFT (National Electronic Funds Transfer) and RTGS (Real Time Gross Settlement) are the 2 most used fund transfer mechanisms that are provided by all banks and using this mechanism we can transfer fund online to any bank account. NEFT and RTGS both transfer protocols are operated and managed by RBI (Reserve Bank of India).
  • IMPS (Immediate Payment Service) uses mobile based fund transfer mechanism that was started by NPCI (National Payments Corporation of India) in 2010. It provides instant payment service for money transfer to bank accounts.




What is the basic information required for fund transfer through NEFT, RTGS, and IMPS?

  • To transfer funds, Beneficiary Bank Account Number, IFSC code, the name of the beneficiary and amount.

Let us discuss the difference between RTGS, NEFT, and IMPS?


NEFT

  • In NEFT is an electronic fund transfer process, which is used in financial Institution and majorly in the bank. The method operates on Deferred Net Settlement, which basically executes the transaction in batches. Presently there are 11 settlement slots between 8 am to 6.30 pm for NEFT transfer except on 2nd Saturday and 4th Saturday and bank holidays.
  • If the transfer takes place after 6.30 pm, it is scheduled at 8 am the slot in next working day and same if you make the transfer on bank holiday's it will be scheduled for next working day.  
  • There is no minimum limit to transfer money through NEFT process. It can be more or less.


RTGS

  • In RTGS transfer takes place in real time means the transaction is immediately processed as soon as it is executed through RTGS process. Fund transfer through RTGS  takes place between 8 am to 4 pm except for 2nd and 4th Saturday and bank holidays. 
  • The limit for transfer money from RGTS is up to a minimum of 2 lakhs and up to a maximum of 10 lakhs. 
  • RTGS is used to transfer large amounts, so it is majorly used by large companies and businessman. Normal customers don't use RTGS very regularly as the minimum transfer limit is Rs.2 lakhs, If we have to send money below 2 lakh, then we can not use RTGS, we can use NEFT for this.


IMPS
  • In IMPS transfer of funds is done using mobile phones. This feature is provided by some selected and reputed banks, in which the major is: ICICI Bank, SBI and Axis Bank. A limit is fixed by the banks, according to which the transfer of the funds is done. You can transfer fund through IMPS to any bank account.
  • IMPS is the most popular fund transfer mechanism nowadays because the transaction process executes immediately and the money gets credited in the account instantly.
  • With IMPS, Minimum Rs.1 and maximum Rs.2 lakhs amount can be transferred, but the limit is lower for an app and mobile banking services.
  • It is an ideal mechanism for small fund transfers. IMPS is 24/7 available, even on Sunday.
  • NEFT or RTGS can be used if the transfer limit is more than Rs.2 lakhs.

NEFT/RTGS/IMPS Charges, Timings, Limits

 
Transaction Timings
NEFT
RTGS
IMPS


Monday to Saturday


(Except 2nd and 4th Saturday)
8:00 AM
to 6:30 PM
8:00 AM
to 4:30PM
24X7
(Sunday)


Transaction Limits
NEFT
RTGS

IMPS
iMobile
Internet
Account Number
+
 IFSC
Mobile
Number
+
MMID
Account Number
 +
 IFSC
Mobile Number
+
 MMID
Minimum
Re 1
Rs 2 lakhs
Re 1
Re 1
Re 1
Re 1
Maximum
Rs 10 lakhs
Rs 10 lakhs
Rs 2 lakhs*
Rs 10,000
Rs 2 lakhs
Rs 10,000


* Upto Rs 2 lakhs per transaction (Rs 10 lakhs per day)

Transaction Charges
NEFT
RTGS
IMPS
Amounts upto Rs 10,000
Rs 2.50 +
Applicable GST
Not
Applicable
Rs 5 + Applicable GST
Amounts above Rs 10,000 and upto Rs 1 lakh
Rs 5 +
Applicable GST
Not
 Applicable
Rs 5 + Applicable GST
Amounts above Rs 1 lakh and upto Rs 2 lakh
Rs 15 +
Applicable GST
Not
Applicable
Rs 15 +
Applicable GST
Amounts above Rs 2 lakh and upto Rs 5 lakh
(Incl. Rs 2 lakh for RTGS)
Rs 25 +
Applicable GST
Rs 25 + Applicable GST
Not Applicable
Amounts above Rs 5 lakh and upto Rs 10 lakh
Rs 25 +
 Applicable GST
Rs 50 + Applicable GST
Not Applicable

  
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