• The acronym `RTGS` stands for Real Time Gross Settlement, which can be defined as the continuous (real-time) settlement of funds transfers 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.

• NEFT is an electronic fund transfer system in which the transactions received up to a particular time are processed in batches. Contrary to this, in RTGS, the transactions are processed continuously on a transaction by transaction basis throughout the RTGS business hours.

The remitting customer has to furnish the following information to a bank for initiating a RTGS remittance:

• Amount to be remitted
• The account number to be debited
• Name of the beneficiary bank and branch
• The IFSC number of the receiving branch
• Name of the beneficiary customer
• Account number of the beneficiary customer
• Sender to receiver information, if any

• Transactions in RTGS happen in real time and it is not possible to match name and account number before affording credit to the beneficiary. Since name in the Indian context is spelt differently and would not really match with that available with the beneficiary bank, the process of affording credit solely based on the account number of the beneficiary has been enabled.

• Yes, if it is not possible to credit the funds to the beneficiary customer’s account for any reason, the funds received by the RTGS member bank will be returned to the originating bank within one hour of receipt of the payment at the Payment Interface (PI) or before the end of the RTGS Business day, whichever is earlier. Once the money is received back by the remitting bank, the original debit entry in the customer's account needs to be reversed.

• RTGS Inward remittances received by an RTGS member bank for crediting to a beneficiary’s account will be returned to the originating RTGS member bank within one hour of receipt of the funds or before the end of the RTGS business day, whichever is earlier, if it is not possible to credit the amount to the beneficiary customer’s account for any technical reasons such as, Account does not exist, Invalid Account, Account Frozen / Stopped etc. The returned amount shall be credited to the remitter’s A/c immediately on receipt and in the case of Failed / Suspended Transactions due to system / technical failures at Payment Gateways at RBI / PI of both banks, the same are reprocessed or credited to the respective accounts within 48 hours after reconciling the accounts.

• The customer can contact his / her bank / branch if there is an issue of delay / non-credit to the beneficiary account.

• While the customers do not have the facility to track the transaction, the RBI has implemented the feature of positive confirmation in an RTGS transaction. Under this, the remitting bank would receive a message from RBI (through the beneficiary bank) that the money has been credited to the beneficiary bank / customer account. Based on this, the remitting bank should advise the remitting customer that money has been credited to the receiving bank’s beneficiary account.

• The credit is given to the account number written / given by remitter in his / her application / instruction. Credit to beneficiary account is released solely based on account number. It is the responsibility of remitting customer to write correct account number. The originator / sender should exercise due care in providing the correct account number of the beneficiary, in the RTGS remittance instruction / application. Remitter can approached his home branch and give an application for wrong credit for further process.

• Unique Transaction Reference (UTR) number is a 22 character code used to uniquely identify a transaction in NEFT system.