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Availability of NEFT System on 24×7 basis and waiver of NEFT charges

Reserve Bank of India (RBI) has made available, National Electronic Funds Transfer (NEFT) facility on 24×7 basis. Further to promote digital payments, RBI has also waive transaction charges on NEFT transactions done through internet or mobile banking of saving bank account.

RBI through circular issued on 06.12.2019 directed banks to made available NEFT facility on 24×7 basis. This facility is available from 16.12.2019 with the first settlement taking place after 00:30 hours on 16.12.2019 i.e. night of 15.12.2019. There will be total 48 batches of settlement everyday with half an hour processing time. This facility is available on all days of year including holidays.

Further RBI through circular issued on 16.12.2019 also directed banks to waive off NEFT charges of saving bank accounts on transaction done through internet or mobile banking. This facility is available from 01.01.2020.

Both the above circulars are reproduce below for reference.


Availability of National Electronic Funds Transfer (NEFT) System on 24×7 basis

RBI/2019-20/111
DPSS (CO) RPPD No.1097/04.03.01/2019-20

December 6, 2019

The Chairman/Managing Director/Chief Executive Officer
of member banks participating in NEFT payment system

Madam/Dear Sir

Availability of National Electronic Funds Transfer (NEFT) System on 24×7 basis

Please refer to our circular DPSS (CO) RPPD No.510/04.03.01/2019-20 dated August 30, 2019 regarding availability of NEFT on a 24×7 basis.

2. It has been decided that the above facility shall 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).

3. Member banks are advised to note the following:

a. 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.

b. The system will be available on all days of the year, including holidays.

c. NEFT transactions after usual banking hours of banks are expected to be automated transactions initiated using ‘Straight Through Processing (STP)’ modes by the banks.

d. 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.

e. Member banks will ensure sending of positive confirmation message (N10) for all NEFT credits.

f. All provisions of NEFT procedural guidelines will be applicable for NEFT 24×7 transactions as well.

4. Member banks are expected to keep adequate liquidity in their current account with Reserve Bank of India at all times to facilitate successful posting of NEFT batch settlements.

5. Member banks are also advised to initiate necessary action and ensure availability of all necessary infrastructural requirements at their end for providing seamless NEFT 24×7 facility to their customers. Banks may disseminate information on the extended timings for NEFT to all their customers.

6. This directive is issued under Section 10(2) read with Section 18 of the Payment and Settlement Systems Act, 2007 (Act 51 of 2007).

Yours faithfully,

(Rajani Prasad)
General Manager (Officer-in-Charge)


Furthering Digital Payments – Waiver of Charges – National Electronic Funds Transfer (NEFT) System

RBI/2019-20/116
DPSS (CO) RPPD No.1140/04.03.01/2019-20

December 16, 2019

The Chairman / Managing Director / Chief Executive Officer
of member banks participating in NEFT

Madam/Dear Sir,

Furthering Digital Payments – Waiver of Charges – National Electronic Funds Transfer (NEFT) System

A reference is invited to RBI circulars DPSS CO (EPPD)/98/04.03.01/2012-13 dated July 13, 2012 on National Electronic Funds Transfer (NEFT) System – Rationalisation of customer charges and DPSS (CO) RPPD No.2557/04.03.01/2018-19 dated June 11, 2019 on National Electronic Funds Transfer (NEFT) and Real Time Gross Settlement (RTGS) systems – Waiver of charges.

2. In order to give further impetus to digital retail payments, it has now been decided that member banks shall not levy any charges from their savings bank account holders for funds transfers done through NEFT system which are initiated online (viz. internet banking and/or mobile apps of the banks).

3. This directive is issued under Section 10 (2) read with Section 18 of the Payment and Settlement Systems Act, 2007 (Act 51 of 2007) and shall be effective from January 1, 2020.

Yours faithfully,

(P Vasudevan)
Chief General Manager

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