Is NEFT a secure way to transfer funds?

Yes, NEFT is considered a secure way to transfer funds electronically between bank accounts in India. The Reserve Bank of India (RBI) has put in place various security measures to ensure that NEFT transactions are safe and secure. For example, NEFT transactions are encrypted and require twofactor authentication, which involves the use of a unique login ID and password, as well as a One Time Password (OTP) sent to the customer's registered mobile number for verification. Additionally, banks are required to comply with strict security standards and protocols to ensure that customer data is protected and that transactions are not compromised. However, as with any financial transaction, it is important to take basic precautions to protect yourself, such as not sharing your personal and banking details with anyone and verifying the authenticity of the recipient's bank account information before initiating the transfer.