“Member banks may inform their customers to plan their payment operations accordingly,” the regulator said, adding, “NEFT Members will continue to receive event update(s) through NEFT system broadcasts.”
The apex bank said, the Real-Time Gross Settlement (RTGS) facility will continue to be operational as usual during this period, RBI said. A similar technical upgrade for RTGS was completed on April 18, the central bank mentioned.
On April 7, the central bank allowed direct membership of non-bank payment system operators in the Centralised Payment Systems (CPS). While RTGS and NEFT were only allowed for banking entities till now, it will now be extended to prepaid payment instruments (PPI) issuers, card networks, white label ATM (WLA) operators, Trade Receivables Discounting System (TReDS) platforms. The aim is to encourage participation of non-banks across payment systems, RBI said.
NEFT, RTGS
RTGS is meant for large-value instantaneous fund transfers, while NEFT is used for fund transfers of up to Rs 2 lakh.
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