How is RTGS different from NEFT transfer?

RTGS and NEFT are both electronic funds transfer systems used in India, but they differ in several aspects:

1. Timings: RTGS operates during working hours of banks on weekdays and halfday on Saturdays, while NEFT operates during extended hours and even on weekends.

2. Minimum and maximum amount: The minimum amount for an RTGS transaction is generally Rs 2 lakhs, while there is no minimum limit for NEFT transactions. The maximum amount for both modes of transfer varies from bank to bank.

3. Speed of transfer: RTGS transactions are settled in realtime, while NEFT transactions are processed in batches and may take up to a few hours to complete.

4. Cost: RTGS transactions are generally more expensive than NEFT transactions.

5. Bank branches: While RTGS can only be done from bank branches, NEFT can be initiated online through internet banking.

In summary, RTGS is typically used for highvalue, timesensitive transactions, while NEFT is suitable for lowvalue, nontimecritical transactions.