NEFT

NEFT : What is NEFT? How it works?

You must have heard about the NEFT word. And if you use internet banking, you will be well aware of this terms. Because you will need to NEFT. And if you do not know what the NEFT is and how it works. So let’s talk about this.

What is NEFT?

In fact, the full name of NEFT is ‘National Electronic Funds Transfer’ and it is a method which works through any bank to send money to the account holder in any other bank. This facility was started on November 2005. And in today’s time, you can take advantage of this facility at almost every national level bank.

RBI has offered two alternatives to electronic transfer of money from one bank account to another account. Which are – NEFT (National Electronic Funds Transfer) and RTGS (Real-Time Gross Settelment). Through both of these you can be done through the fund transfer internet banking facility. According to the RBI,

“There is a nation-wide payment system which is meant for money transfer between one and the other. And even if the account holder does not keep his account in any bank. “

NEFT is a multi-dimensional way through which you can transfer money to any customer or your client in very short time by electronic means. Although it takes time, but even then this time is very less in view of the facility. This is very different from RTGS because the transfer of money in RTGS happens in real time. However, according to a fixed time batch, that means your money is transferred after a certain time interval.

How does NEFT work?

It is easy to send money from NEFT. But to understand how NEFT works, you need to understand the following steps –

Activation
Those using internet banking for NEFT or RTGS transactions need to activate third-party transactions. After that you will be able to transfer funds.

Beneficiary

The man who has to send the money, it is necessary to add it as a beneficiary. Also, the bank account of that person should also be known. Under this, it is important to know the name of the beneficiary account holder, account number, bank and branch name and the branch in which the money is to be sent.

Processing
It takes 12-24 hours for the bank to check the Debit of Bank Beneficiary. However, now check bank details very soon. Once the investigation is completed, the new beneficiary gets activated. After which the fund can be transferred to the respective account.

Transfer

First choose the transfer option (NEFT or RTGS). Then present the details of the name, amount and transfer of the Beneficiary. After entering the details and the security transaction password transfer is processed. NEFT is in the transfer batch, which means it takes a little longer. While RTGS transfers are real time bases immediately.

What are the charges for NEFT

For each NEFT, each bank charges a fixed fee. The details of which are as follows –

Transaction Amount NEFT Charges

UP to ₹ 10,000 (not exceeding) Rs 2.50 (+ Service Tax)
Above ₹ 10,000 up to ₹ 1 lakh (not exceeding) Rs 5 (+ Service Tax)
Above ₹ 1 lakh and up to ₹ 2 lakhs (not exceeding) Rs 15 (+ Service Tax)
Above ₹ 2 lakh and up to ₹ 5 lakhs (not exceeding) Rs 25 (+ Service Tax)
Above ₹ 5 lakhs Rs 25 (+ Service Tax)
Note – In these prescribed fees, changes in the condition of changes in the rules of the bank and the bank are possible. At the same time, the beneficiary who receives the money should not be charged any fee. Whereas, the payment rates are payable to the bank in the manner of the sender.

Some Important Fact about NEFT :

1. The amount of at least Rs 2 lakh can be transferred through RTGS. There is no such limit for NEFT.
2. Transfer of funds through NEFT is within the stipulated time frame of RBI. RTGS transactions are instant settled.
3. Fund transfer through NEFT and RTGS can also be done through bank branch.
4. Timings – We have talked about NEFT that this batch is completed in the process and you can also call it Settlement Timing. This is done by batch hour and timing is something like this – Monday to Saturday (Except 2nd and 4th Saturday) – 8:00 AM to 6:30 PM
5. If any transaction is started after the scheduled time. So it completes the next working day.

How Much Time Does It Take?

Through NEFT, you can transfer funds from Monday to 8:00 AM to 6:30 PM. Also, access to money in the account of Beneficiary takes an average of 3 hours. Occasionally it takes longer.

NEFT Enabled Banks – 5 May, 2019

Abhyudaya Cooperative Bank
Abu Dhabi Commercial Bank
Aditya Birla Idea Payments Bank
Ahmedabad Mercantile Cooperative Bank
Ahmednagar Merchants Co-op Bank Ltd
Airtel Payments Bank Limited
Akola Janata Commercial Cooperative Bank
Allahabad Bank
Almora Urban Co-Operative Bank ltd
Ambarnath Jaihind Co-Op Bank Ltd Ambarnath
Andhra Bank
Andhra Pragathi Grameena Bank
Andhra Pradesh Grameena Vikas Bank
Apna Sahakari Bank Ltd
Australia and New Zealand Banking Group Ltd
AU Small Finance Bank Limited
Axis Bank
Bandhan Bank Limited
Bank Internasional Indonesia
Bank of America
Bank of Bahrein and Kuwait
Bank of Baroda
Bank of Ceylon
Bank of India
Bank of Maharashtra
Bank of Tokyo Mitsubishi Ltd
Barclays Bank
Bassein Catholic Co-Op Bank Ltd
Bhagini Nivedita Sahakari Bank Ltd Pune
Bharat Cooperative Bank Mumbai Ltd
BNP Paribas Bank
Canara Bank
Capital Small Finance Bank Ltd
Commonwealth Bank of Australia
Catholic Syrian Bank
Central Bank of India
Chinatrust Commercial Bank
CITI Bank
Citizen Credit Cooperative Bank
City Union Bank Ltd
Commonwealth Bank of Australia
Corporation Bank
Credit Agricole Corporate and Investment Bank
Credit Suisse AG
DBS Bank Ltd
DCB Bank Ltd
Deogiri Nagari Sahakari Bank Ltd. Aurangabad
Dena Bank
Deposit Insurance and Credit Guarantee Corporation
Deustche Bank
Development Bank of Singapore DBS
Dhanalakshmi Bank
DICGC
DMK Jaoli Bank
DOHA Bank
Doha Bank QSC
Dombivli Nagari Sahakari Bank Ltd
Durgapur Steel Peoples Co-Operative Bank Ltd
Emirates NBD Bank P J S C
Esaf Small Finance Bank Limited
Equitas Small Finance Bank Limited
Export Import Bank of India
Federal Bank Ltd
Fincare Small Finance Bank Ltd
FINO Payments Bank
Firstrand Bank Ltd
First Abu Dhabi Bank PJSC
G P Parsik Bank
GS Mahanagar Co-operative Bank Limited, Mumbai
Gurgaon Gramin Bank Ltd
HDFC Bank Ltd
Haryana State Co-Operative Bank
Himachal Pradesh State Co-Operative Bank Ltd
HSBC Bank
HSBC Bank Oman Saog
ICICI Bank Ltd
IDBI Ltd
IDRBT
IDFC First Bank Ltd
Industrial Bank of Korea
Irinjalakuda Town Co-Operative Bank Ltd
Jalgaon Janata Sahkari Bank Ltd
Jammu and Kashmir Bank
Janakalyan Sahakari Bank Ltd
Jana Small Finance Bank Ltd
Janaseva Sahakari Bank (Borivli) Ltd
Janaseva Sahakari Bank Ltd
Janata Sahakari Bank Ltd (Pune)
Jio Payments Bank Limited
JP Morgan Chase Bank NA
Kallappanna Awade Ichalkaranji Janata Sahakari Bank Ltd
Kalyan Janata Sahakari Bank Ltd
Kalupur Commercial Cooperative Bank
Kapol Cooperative Bank
Karnataka Bank Ltd
Karnataka Vikas Grameena Bank
Kaveri Grameena Bank
Karur Vysya Bank
KEB Hana Bank
Kerala Gramin Bank
Kotak Mahindra Bank
Kozhikode District Cooperative Bank Ltd
Krung Thai Bank PCL
Laxmi Vilas Bank
Mahanagar Cooperative Bank Ltd
Maharashtra Gramin Bank
Maharashtra State Cooperative Bank
Mahesh Sahakari Bank Ltd Pune
MashreqBank PSC
Mizuho Bank Ltd
MUFG Bank Ltd
Nagar Urban Co-Operative Bank
National Bank for Agriculture and Rural Development
National Bank of Abu Dhabi PJSC
Nagpur Nagrik Sahakari Bank Ltd
National Australia Bank
Nav Jeevan Co-Op Bank Ltd
New India Co-operative Ban Ltd
NKGSB Co-operative Bank Ltd
North East Small Finance Bank Limited
North Malabar Gramin Bank
NSDL Payments Bank Limited
Nutan Nagarik Sahakari Bank Ltd
Oman International Bank
Oriental Bank of Commerce
Paytm Payments Bank Ltd
Pragathi Krishna Gramin Bank
Prathama Bank
Prime Co-Operative Bank Ltd
PT Bank Maybank Indonesia TBK
Punjab and Maharashtra Cooperative Bank Ltd
Punjab and Sind Bank
Punjab National Bank
Qatar National Bank SAQ
Rabobank International
Rajarambapu Sahakari Bank Ltd
Rajgurunagar Sahakari Bank Ltd
Rajkot Nagarik Sahakari Bank Ltd
RBI PAD, Ahmedabad
RBL Bank Limited
Reserve Bank of India
Reserve Bank Of India, Pad
Sahebrao Deshmukh Co-Op. Bank Ltd
Samarth Sahakari Bank Ltd
Sant Sopankaka Sahakari Bank Ltd
Saraswat Co-operative Bank Ltd
SBER Bank
SBM Bank India Limited
SBM Bank Mauritius Ltd
Shikshak Sahakari Bank Ltd
Shinhan Bank
Shivalik Mercantile Co Operative Bank Ltd
Shri Chhatrapati Rajashri Shahu Urban Co-Op Bank Ltd
Shri Veershaiv Co-Op Bank Ltd
Sir M Visvesvaraya Co Operative Bank Ltd
Small Industries Development Bank of India
Societe Generale
Solapur Janata Sahkari Bank Ltd
South Indian Bank
Standard Chartered Bank
State Bank of India
State Bank of Mauritius Ltd
Sumitomo Mitsui Banking Corporation
Surat National Cooperative Bank Limited
Suryoday Small Finance Bank Limited
Sutex Cooperative Bank Ltd
Syndicate Bank
Tamilnad Mercantile Bank Limited
Telangana State Coop Apex Bank
Textile Traders Co-Operative Bank Ltd
The A.P. Mahesh Co-Op Urban Bank Ltd
The Akola District Central Co-Operative Bank
The Andhra Pradesh State Coop Bank Ltd
The Bank of Nova Scotia
The Baramati Sahakari Bank Ltd
The Cosmos Cooperative Bank Ltd
The Delhi State Cooperative Bank Ltd
The Gadchiroli District Central Cooperative Bank Ltd
The Greater Bombay Co-operative Bank Ltd
The Gujarat State Co-Operative Bank Ltd
The HASTI Co-Operative Bank Ltd
The Jalgaon Peoples Co-Op Bank
The Kangra Central Cooperative Bank Ltd
The Kangra Cooperative Bank Ltd
The Karad Urban Co-op Bank Ltd
The Karanataka State Co-Operative Apex Bank Limited
The Kerala State Co-Operative Bank Ltd
The Kurmanchal Nagar Sahkari Bank Ltd
The Mehsana Urban Cooperative Bank Ltd
The Mumbai District Central Co-Op Bank Ltd
The Municipal Co Operative Bank Ltd, Mumbai
The Nainital Bank Ltd
The Nasik Merchants Co-Op Bank Ltd
The Navnirman Co-Operative Bank Limited
The Pandharpur Urban Co Op. Bank Ltd. Pandharpur
The Rajasthan State Cooperative Bank Ltd
The Royal Bank of Scotland N.V.
The Seva Vikas Co-Operative Bank Ltd
The Shamrao Vithal Cooperative Bank Ltd
The Sindhudurg District Central Coop Bank Ltd
The Surat District Co Operative Bank Ltd
The Surath Peoples Co-Op Bank Ltd
The Tamilnadu State Apex Cooperative Bank
The Thane Bharat Sahakari Bank Ltd
The Thane District Central Co-Op Bank Ltd
The Thane Janata Sahakari Bank Ltd
The Urban Co-operative Bank Ltd
The Varachha Co-Op. Bank Ltd
The Vijay Co-Operative Bank Limited
The Vishweshwar Sahakari Bank Ltd
The West Bengal State Cooperative Bank Ltd
The Zoroastrian Cooperative Bank Limited
Thrissur District Co-Operative Bank Ltd
TJSB Sahakari Bank Ltd
Tumkur Grain Merchants Cooperative Bank Ltd
UCO Bank
Ujjivan Small Finance Bank Limited
Union Bank of India
United Bank of India
United Overseas Bank
Utkarsh Small Finance Bank
Vasai Janata Sahakari Bank Ltd
Vasai Vikas Sahakari Bank Ltd
Vijaya Bank
Westpac Banking Corporation
Woori Bank
Yes Bank Ltd
Zila Sahkari Bank Ltd Ghaziabad

Source : RBI Database

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