Internet banking, also known as online banking, e-banking or virtual banking, is an electronic payment system that allows customers of a bank or other financial institution to conduct financial transactions through its website. That is, you can send money to anyone at home. Let’s get to know how it happens
National Electronic Funds Transfer (NEFT)
National Electronic Funds Transfer (NEFT) is a nationwide payment system that facilitates one to one fund transfer. With this facility, any person, firm and corporate can transfer money from any bank branch to any other person, firm or corporate in any bank branch. Individuals, firms or corporates having an account with a bank branch can transfer funds using NEFT. Even individuals who do not have a bank account can also transfer funds using NEFT to NEFT-enabled branches. Can deposit cash with instructions. NEFT, thus, facilitates origin or remitter to initiate money transfer transactions even without a bank account. Currently, NEFT operates in hourly batches – six shifts from 8 am to 7 pm on Mondays (Fridays to Fridays) on weekdays and from 8 am to 1 pm on Saturdays.
Real Time Gross Settlement (RTGS)
The RTGS system is primarily intended for large value transactions. The minimum amount to be remitted through RTGS is 2 lakhs. There is no upper limit for RTGS transactions.
With this process money is transferred in real time. In which money is transferred individually on the basis of order. RTGS service for customer transactions is available from 9.00 hours to 16.30 hours on weekdays to banks and 9.00 hours to 14:00 hours on Saturdays for settlement at the end of RBI.
Immediate Payment Service (IMPS)
IMPS provides a fast and 24X7, interbank electronic fund transfer service via mobile phone. IMPS can instantly transfer money within banks across India through mobile, internet and ATM. To transfer money to another account, you need the account number and IFSC code of that bank.
ECS is particularly used in bill payments such as telephone bills, electricity bills, insurance premia, card payments and loan payments.
Unified Payments Interface (UPI)
It is a fast payment system created by the National Payments Corporation of India (NPCI), RBI. UPI is built on IMPS infrastructure and allows you to instantly transfer money between bank accounts of any two parties.