There was a time when sending money from one account to the other was a tedious task. Whether in the same or another city, you had to take the cheque with the desired amount and put it either in the drop box or get it done manually through a bank representative. And the movement of money took an eternity. Fast forwarding to 2018, transfer of funds is just a matter of minutes. All thanks to a money transfer system called – National Electronic Funds Transfer (NEFT).
What is NEFT?
It is an electronic system by which you can move money from your account to any other bank account in a safe and hassle-free manner. All NEFT transfer is done batch -wise. You can send money to any bank that is NEFT-enabled. Not just individuals, but also firms and corporates can move funds with the help of NEFT.
For using the NEFT system, you have to enter specific beneficiary details:
- IFSC code
- Payee name
- Beneficiary’s account number
- Bank branch
A step-by-step process of NEFT:
The NEFT transfer is done only online. You have to follow the procedures:
1) Login to your net banking site using your customer ID and password
2) Click on the ‘transfers’ option on the homepage. You will find 3 choices here: transfer within the bank, transfer to other bank and transfer via card. Choose the desired option
3) Include all the deta ils mentioned above of the receiver. Post that you will get a one-time-password on your phone to confirm the beneficiary’s details
4) Generally, it takes 24 hours to activate the recipient’s account
5) Select the NEFT mode and enter all the recipient information again inclusive of the amount and the reason for transferring cash
6) Confirm and submit. The recipient will receive the amount in 1-2 working days
What are the timings for NEFT transactions?
All NEFT transfer is done on an hourly basis. Usually, 6 and 8 batches operate on a weekly basis. However, they are done within a specific time: 8:00 AM to 7:00 PM (Monday to Friday) and 8:00 AM to 1:00 PM on Saturdays (except for the second and fourth Saturday of the month). This NEFT money does not get credited on bank and public holidays as well.
What are the NEFT charges associated with the transaction?
If you are transferring an amount below INR 10,000, no charges apply to the sender. However, if it goes beyond the said amount, the following are the fees:
Note: These charges are subject to change
Transaction Amount
Amounts up to INR 10,000
NEFT Charges
INR 2.50 + Applicable GST
Transaction Amount
Amounts above INR 10,000 and up to
NEFT Charges
INR 1 lakh INR 5 + Applicable GST
Transaction Amount
Amounts above INR 1 lakh and up to
NEFT Charges
INR 2 lakh INR 15 + Applicable GST
Transaction Amount
Amounts above INR 2 lakh and up to
NEFT Charges
INR 5 lakh INR 25 + Applicable GST
Transaction Amount
Amounts above INR 5 lakh and up to
NEFT Charges
INR 10 lakh INR 25 + Applicable GST
To know more information about NEFT system, you can visit the Reserve Bank of India (RBI) website.
What is NEFT?
It is an electronic system by which you can move money from your account to any other bank account in a safe and hassle-free manner. All NEFT transfer is done batch -wise. You can send money to any bank that is NEFT-enabled. Not just individuals, but also firms and corporates can move funds with the help of NEFT.
For using the NEFT system, you have to enter specific beneficiary details:
- IFSC code
- Payee name
- Beneficiary’s account number
- Bank branch
A step-by-step process of NEFT:
The NEFT transfer is done only online. You have to follow the procedures:
1) Login to your net banking site using your customer ID and password
2) Click on the ‘transfers’ option on the homepage. You will find 3 choices here: transfer within the bank, transfer to other bank and transfer via card. Choose the desired option
3) Include all the deta ils mentioned above of the receiver. Post that you will get a one-time-password on your phone to confirm the beneficiary’s details
4) Generally, it takes 24 hours to activate the recipient’s account
5) Select the NEFT mode and enter all the recipient information again inclusive of the amount and the reason for transferring cash
6) Confirm and submit. The recipient will receive the amount in 1-2 working days
What are the timings for NEFT transactions?
All NEFT transfer is done on an hourly basis. Usually, 6 and 8 batches operate on a weekly basis. However, they are done within a specific time: 8:00 AM to 7:00 PM (Monday to Friday) and 8:00 AM to 1:00 PM on Saturdays (except for the second and fourth Saturday of the month). This NEFT money does not get credited on bank and public holidays as well.
What are the NEFT charges associated with the transaction?
If you are transferring an amount below INR 10,000, no charges apply to the sender. However, if it goes beyond the said amount, the following are the fees:
Note: These charges are subject to change
Transaction Amount
Amounts up to INR 10,000
NEFT Charges
INR 2.50 + Applicable GST
Transaction Amount
Amounts above INR 10,000 and up to
NEFT Charges
INR 1 lakh INR 5 + Applicable GST
Transaction Amount
Amounts above INR 1 lakh and up to
NEFT Charges
INR 2 lakh INR 15 + Applicable GST
Transaction Amount
Amounts above INR 2 lakh and up to
NEFT Charges
INR 5 lakh INR 25 + Applicable GST
Transaction Amount
Amounts above INR 5 lakh and up to
NEFT Charges
INR 10 lakh INR 25 + Applicable GST
To know more information about NEFT system, you can visit the Reserve Bank of India (RBI) website.
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