NEFT is now available 24hrs a day, throughout the year
By T. Moharana
Biznextindia : The National Electronic Fund Transfer (NEFT) system will be available on 24 hours of a day from Monday onwards.
Announcing this the Reserve Bank of India (RBI) on 6th December had said that NEFT facility will be made available from December 16, 2019 with the first settlement taking place after 00:30 hours on December 16, 2019 (i.e. night of December 15, 2019). The facility will be available throughout the year including on holidays.
RBI has also asked commercial banks, who are member of the NEFT system to keep adequate liquidity in their current account with Reserve Bank of India at all times to facilitate successful posting of NEFT batch settlements.
NEFT is an electronic funds transfer system maintained by the RBI. The setup was established and maintained by Institute for Development and Research in Banking Technology (IDRBT). NEFT enables bank customers in India to transfer funds between any two NEFT-enabled bank accounts on a one-to-one basis. It is done via electronic messages.
- There will be 48 half-hourly batches every day. The settlement of first batch will commence after 00:30 hours and the last batch will end at 00:00 hours.
- The system will be available on all days of the year, including holidays.
- NEFT transactions after usual banking hours of banks are expected to be automated transactions initiated using ‘Straight Through Processing (STP)’ modes by the banks.
- The existing discipline for crediting beneficiary’s account or returning the transaction (within 2 hours of settlement of the respective batch) to originating bank will continue.
- Member banks will ensure sending of positive confirmation message (N10) for all NEFT credits.
- All provisions of NEFT procedural guidelines will be applicable for NEFT 24×7 transactions as well.