New Delhi: Reserve Bank of India (RBI) has announced that Real Time Gross Settlement System (RTGS), used for large value transactions, will be made available round-the-clock from on all days from 00:30 hours of December 14.
India is one of the few countries to operate the system 24x7. "Accordingly, RTGS 24x7x365 will be launched with effect from 00:30 hours on December 14, 2020," the central bank said in a statement.
Announcing the December 2020 bi-monthly RBI Monetary Policy decision, RBI Governor Shaktikanta Das said, customers will get round-the-clock availability of Real Time Gross Settlement (RTGS) System soon.
Currently, RTGS is available for customers from 7.00 am to 6.00 pm on all working days of a week, except second and fourth Saturdays of every month.
RTGS is a financial transaction system, where there is continuous and real-time settlement of fund transfers, individually on a transaction-by-transaction basis. RTGS transactions or transfers have no amount cap.
What is RTGS?
RTGS is a financial transaction system, where there is continuous and real-time settlement of fund transfers, individually on a transaction-by-transaction basis. RTGS transactions or transfers have no amount cap.
What is the minimum amount to be remitted through RTGS?
The minimum amount to be remitted through RTGS is Rs 2 lakh with no upper or maximum ceiling.
Since July 2019, RBI stopped levying charges on transactions through NEFT and RTGS, with an aim to promote digital transactions in the country.
The central bank has also decided to grant perpetual validity for Certificate of Authorisation (CoA) issued to Payment System Operators (PSOs) to reduce licensing uncertainties.
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Currently, the RBI issues "on-tap" authorisation under the Payment and Settlement Systems Act, 2007 to non-banks issuing Prepaid Payment Instruments (PPIs), operating White Label ATMs (WLAs) or the Trade Receivables Discounting Systems (TReDS), or participating as Bharat Bill Payment Operating Units (BBPOUs).
