The National Electronic Fund Transfer (NEFT) facility will be launched in all banks within 24 hours from December 16. No lump sum will be charged from the bank customers for this. The NEFT facility is from 8am to 7pm. Its time is 8am to 1pm on the first and third Saturdays of the month. Banks were directed by the Reserve Bank of India (RBI) for this facility.
The purpose is to promote digital banking
RBI has decided to promote digital banking across the country. According to the RBI, retail digital transactions are growing at 60% a year. Between October 2018 and September 2019, the average was Rs 2846 crore. In the meantime, a total transaction of Rs 302 lakh crore has been made. There have been 1126 crore transactions from NEFT and UPI. UPI has a growth rate of 263%. So the growth rate of NEFT was 20%.
NEFT feature was released on July
At a review meeting of the RBI’s monetary policy committee held on June 6, the RBI made transaction-free transactions with the Real Time Gross Settlement (RTGS) and National Electric Fund Transfer available to the general public. This rule has been in effect since July 1.
What is NEFT?
NEFT means National Electronic Funds Transfer, NEFT is used to make transactions from the Internet up to Rs 2 lakhs. It can send money from any bank accounts of any branch to any bank accounts. The only condition is that both the sender and the receiver need to have internet banking service.