At present, RBI has imposed a ‘minimum fee’ on banks for transactions through their RTGS and NEFT system.
In order to speed up the movement of digital funds, the central bank had decided to remove the processing fee and timely fees charged by banks for external transactions through RBI through RTGS.
Also, the fee for processing transactions in NEFT will be waived by the Reserve Bank of India. After the RBI decision, fund transfer through RTGS and NEFT systems has become cheaper since today, as it will not charge any such transaction.
The real-time gross settlement (RTGS) system is for large-value fund transfer, while the use of National Electronic Fund Transfer (NEFT) system is done for fund transfer of up to Rs 2 lakhs.