The Reserve Bank of India (RBI) has planned to abolish charges on NEFT & RTGS transactions on June 6.
“In order to produce an impetus to digital funds movement, it’s been set to try and do away with costs levied by the banks for transactions processed within the RTGS and NEFT systems. Banks are needed, in turn, to pass these edges to their customers. Directions to banks regarding this is being issued within a week’s time,” as stated by the central bank.
RTGS is meant for large-value instant fund transfers whereas NEFT is for fund transfers upto Rs 2 lakhs only.
The RBI’s monetary policy committee (MPC) cut its repo rate by 25 basis points to 5.75 percent, by changing its policy.