RBI allows round-the-clock fund transfers under NEFT from Dec

The RBI has decided to allow round-the-clock fund transfers through NEFT from December this year in order to promote digital transactions.

The decision, the Reserve Bank of India said, “is expected to revolutionise the retail payments system of the country”.

Currently, the National Electronic Funds Transfer (NEFT) operated by the RBI as a retail payment system is available for customers from 8 am to 7 pm on all working days with the exception of second and fourth Saturdays of a month.

The NEFT system is used for fund transfers up to Rs 2 lakh.

In its Payment System Vision 2021 document, the RBI had said that it will make available the NEFT system on a 24×7 basis from December 2019.