NEFT / RTGS / IMPS
BankingThe primary electronic fund transfer systems used in India for moving money between bank accounts.
These are the three main ways to transfer money electronically between bank accounts in India.
NEFT (National Electronic Funds Transfer):
- Mechanism: Operates in hourly batches.
- Best for: Small to medium amounts where immediate transfer isn’t critical.
- Limit: No minimum or maximum limit for most banks.
RTGS (Real Time Gross Settlement):
- Mechanism: Real-time processing on an individual basis.
- Best for: High-value transactions (typically above ₹2 Lakhs).
- Limit: Minimum ₹2 Lakhs.
IMPS (Immediate Payment Service):
- Mechanism: Instant, 24/7 interbank electronic fund transfer.
- Best for: Immediate small transactions, often initiated via mobile apps.
In a bank statement, these are usually identified by codes like “NEFT-”, “RTGS-”, or “IMPS-” followed by a reference number or the recipient’s name.
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