Page 75 - VIRANSH COACHING CLASSES

(3) Debit Cards:

Most of the banks nowadays offer debit card as soon as account is opened by account holder.
Through debit card payments, the amount gets deducted from account holder's account. Some banks
offer personalised debit and credit cards as per the requirement of customer.

4) RTGS:
RTGS stands for Real Time Gross Settlement. RTGS is a fund transfer system where transfer
of funds or money takes place from one bank to another bank on "real time" and on "gross
basis". It is the fastest money transfer system through the banking channel.
• Real Time Settlement means payment transaction is not subject to any waiting period. The
transactions are settled as soon as they are processed. The receiving bank has to credit the
account of the client within 2 hours of receiving the funds transfer message.
• Gross Settlement means the transactions are settled on one to one basis without bunching with
any other transactions. The minimum amount to be remitted through RTGS is Rs. Two lacs
while there is no upper limit for transactions. However, amount changes from bank to bank.
5) NEFT:

NEFT stands for National Electronic Fund Transfer. Under this system, funds are transferred
electronically from one branch to another branch or one bank to another bank in the country.
The client has to give details of NEFT code of branch and account number of beneficiary to
whom the money is to be transferred.
The NEFT settlements take place at particular time during working hours. For instance,
settlements of fund transfer requests in NEFT system is done on half-hourly basis. There are 24 half-
hourly settlement batches run from 8 am to 7 pm on all working days of week. The main difference
between NEFT and RTGS is that in the case of RTGS, transfer is done on gross settlement basis
while NEFT is on deferred net basis, where transactions are bundled together.

Just to know

• From Dec.2019, this facility will be availale round the clock for customers

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