Difference between NEFT and RTGS?
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Answers ( 2 )
RTGS is based on the gross settlement where the transaction is settled on an instruction by instruction basis. NEFT is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches.
RTGS refers to Real time Gross Settlement whereas NEFT refers to National Electronic Funds Transfer. RTGS completes transaction in real time while NEFT completes transaction in cycles during the given working day. RTGS is a high value transfer system, handling funds worth Rs. 1,00,000 and above while NEFT transfers small amount below R. 1,00,000.