NEFT to be available 24x7 from December 16: RBI

The Reserve Bank of India (RBI), on Friday, said the National Electronic Funds Transfer (NEFT) facility should be made available by member banks participating in the payment system from December 16 on all days of the year, including holidays.

NEFT is a nation-wide payment system facilitating one-to-one funds transfer. Under this scheme, individuals, firms and corporates can electronically transfer funds from any bank branch to any individual, firm or corporate having an account with any other bank branch in the country participating in the scheme.

With effect from December 16 (00:30 hours), 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. Currently, fund transfer transactions are settled in batches under NEFT, which operates in 23 half-hourly batches from 8 am to 7 pm on working days.

The RBI said that the existing discipline for crediting beneficiary’s account or returning the transaction (within two hours of settlement of the respective batch) to the originating bank will continue. Member banks will ensure sending of positive confirmation message for all NEFT credits. Member banks are expected to keep adequate liquidity in their current account with the RBI at all times to facilitate the successful posting of NEFT batch settlements.

They have also been advised to initiate necessary action and ensure availability of all necessary infrastructural requirements at their end for providing seamless NEFT 24x7 facility to their customers.