Banking Awareness Question Day 22

Money Transfer Service Terms and Condition

There are many ways of transferring money from one bank account to another account.
There are three major means of transferring money.

1. National Electronic Funds Transfer (NEFT)

  • National Electronic Funds Transfer (NEFT) is a nation-wide payment system facilitating one-to-one funds transfer.
  • Under this Scheme, individuals can electronically transfer funds from any bank branch to any individual having an account with any other bank branch in the country participating in the Scheme.

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What are the NEFT Transaction timings?
Monday to Saturday (Except 2nd and 4th Saturday) from 8:00 AM to 6:30 PM.

Is there any limit on the amount that could be transferred using NEFT?
No. There is no limit – either minimum or maximum – on the amount of funds that could be transferred using NEFT. However, the maximum amount per transaction is limited to ₹ 50,000/- for cash-based remittances within India and also for remittances to Nepal under the Indo-Nepal Remittance Facility Scheme.

2. Real Time Gross Settlement (RTGS)

  • The acronym ‘RTGS’ stands for Real-Time Gross Settlement, which can be defined as the continuous (real-time) settlement of funds individually on an order by order basis (without netting).
  • ‘Real Time’ means the processing of instructions at the time they are received rather than at some later time.’Gross Settlement’ means the settlement of funds transfer instructions occurs individually (on an instruction by instruction basis).
  • Considering that the funds settlement takes place in the books of the Reserve Bank of India, the payments are final and irrevocable.

Is there any minimum / maximum amount stipulation for RTGS transactions done on ICICIBank.com?
The RTGS system is primarily meant for large value transactions. The minimum amount to be remitted through RTGS is Rs 2 lakh. The maximum limit is Rs 10 lakh per day.

RTGS Timings:

  • Under normal circumstances, the beneficiary branches are expected to receive the funds in real-time as soon as funds are transferred by the remitting bank.
  • The beneficiary bank has to credit the beneficiary’s account within 30 minutes of receiving the fund’s transfer message.

What is the maximum time for returning of RTGS transactions, which could not be credited to the beneficiary’s account?

If the funds are not credited to the beneficiary’s account for any reason like account does not exist, the account is frozen etc., the funds will be returned to the originating bank within one hour or before the end of the RTGS Business day, whichever is earlier.

How Real-Time Gross Settlement (RTGS) is different from National Electronics Funds Transfer System (NEFT)?

  • NEFT is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches. In DNS, the settlement takes place with all transactions received till the particular cut-off time.
  • These transactions are netted (payable and receivables) in NEFT whereas in RTGS the transactions are settled individually.
  • Any transaction initiated after a designated settlement time would have to wait till the next designated settlement time Contrary to this, in the RTGS transactions are processed continuously throughout the RTGS business hours.

Can I schedule an RTGS transaction in advance?
Yes, RTGS transactions can be rescheduled in advance.

What is the time frame to schedule an RTGS transaction?
The time frame to schedule an RTGS transaction in advance is 3 working days. You can pay for transactions like:

  • Cash Management Transfer
  • Hedging
  • Interest
  • Loan
  • Securities
  • Supplier Payment
  • Tax Payment
  • Trade
  • Trade Settlement Payment
  • Value Added Tax Payment
    If the above-mentioned option is not relevant to the transaction you would like to select. Then please select “Cash Management Transfer” as a default option.

3. IMPS (Immediate Payment Service)

  • IMPS is an innovative real-time payment service that is available round the clock. This service is offered by the National Payments Corporation of India (NPCI) that empowers customers to transfer money instantly through banks and RBI authorized Prepaid Payment Instrument Issuers (PPI) across India.
  • This service is available 24×7, throughout the year including Sundays and any bank holiday.
What are the benefits of IMPS?

1. Instant
2. Available 24 x7 (functional even on holidays)
3. Safe and secure, easily accessible and cost-effective
4. Channel Independent can be initiated from Mobile/ Internet / ATM channels
5. Debit & Credit Confirmation by SMS

Funds Transfer and Remittances
1. Sending Money
2. Receiving Money

Query Service on Aadhaar Mapper (QSAM)

QSAM (Query Service on Aadhaar Mapper) – This service helps users in knowing their Aadhaar Seeding status with their bank account.
1. This service can be availed by dialing *99*99#
2. User will know whether his/her AADHAAR number is seeded/linked to any bank account number or not
3. If yes, then with which bank and when it was last updated

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What is MMID?

  • Mobile Money Identifier is a 7 digit number, issued by banks. MMID is one of the inputs which when clubbed with a mobile number facilitates fund transfer.
  • Combination of Mobile no. & MMID is uniquely linked with an Account number and helps in identifying the beneficiary details. Different MMID’s can be linked to the same Mobile Number.

Unified Payments Interface (UPI)

Unified Payments Interface (UPI) is an instant payment system developed by the National Payments Corporation of India (NPCI), an RBI regulated entity.

  • UPI is built over the IMPS infrastructure and allows you to instantly transfer money between any two parties' bank accounts.
  • PI-PIN (UPI Personal Identification Number) is a 4-6 digit passcode you create/set during first time registration with this App.
  • You have to enter this UPI-PIN to authorize all bank transactions. If you have already set up a UPI-PIN with other UPI Apps you can use the same on BHIM. (Note: Banks issued MPIN is different from the UPI UPI-PIN, please generate a new UPI-PIN in the BHIM app)
  • Please do not share your UPI-PIN with anyone.
  • BHIM does not store or read your UPI-PIN details and your bank’s customer support will never ask for it.
  • All payments are instant and 24/7, regardless of your bank’s working hours.

UPI is providing additional benefits to IMPS in the following ways:

1.Provides for a P2P Pull functionality
2.Simplifies Merchant Payments
3.Single APP for money transfer
4.Single click two-factor authentication

Does a customer need to register before remitting funds using UPI?
Yes, a customer needs to register with his/her PSP before remitting funds using UPI and link his accounts.

Does the customer need to have a bank account or this can be linked to a card or wallet?
No, the customer cannot link a wallet to UPI, only bank accounts can be added.

Can I link more than one bank account to the same virtual address?
Yes, several bank accounts can be linked to the same virtual address depending on the functionalities being made available by the respective PSPs.

What if my account is debited but the transaction does not go through?
UPI provides for real-time reversals for declines and the amount would be transferred back to the payer account immediately. In case if it does not reverse the amount immediately, you can contact your bank for the same.

Can I put a stop payment request for funds transferred by UPI?
No, once the payment is initiated, it cannot be stopped.

What is the limit of fund transfer using UPI?
At present, the upper limit per UPI transaction is Rs.1 Lakh.

My UPI transaction has failed but my bank account has been debited.
In case of failures, the money will be refunded back to your account. Sometimes this takes longer than intended. If you do not receive the refund within 1 hour, please contact customer support at your bank.