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Tag: NEFT

  • How RBI’s proposed new charge system will most likely be utterly totally different from UPI, NEFT, RTGS

    The need for lightweight charge and settlement system (LPSS)

    The central monetary establishment acknowledged that this charge system could be operated from anyplace by a unadorned minimal staff to have the ability to be able to face extreme circumstances equal to pure calamities and battle, and may very well be made energetic solely on a necessity basis.

    The new system will add to the rich bouquet of charge platforms throughout the nation and can most likely be made obtainable on a “need basis”, said Sachin Castelino, Chief Strategy & Transformation Officer, In Solutions Global LTD.

    The system will leverage advanced technology to enable secure and guaranteed digital payments in times of calamities, added Sachin.

    Alternative to RTGS, UPI, NEFT?

    The LPSS, which will operate independently of existing payment systems like RTGS, NEFT, and UPI, aims to provide a portable and resilient solution during natural calamities and wartime situations.

    This would process transactions that are critical to ensure the stability of the economy such as government and market-related transactions.

    Real-time gross settlement (RTGS), National Electronic Fund Transfer (NEFT), and Unified Payments Interface (UPI) are dependent on complex wired networks backed by advanced IT infrastructure. “However, catastrophic events like pure calamities and battle have the potential to render these charge packages shortly unavailable by disrupting the underlying knowledge and communication infrastructure,” the report from RBI said.

    By conceptualizing the LPSS, the central bank aims to ensure the availability of essential payment services and maintain economic stability in extreme and volatile situations, said Amit Gupta, MD, SAG Infotech.

    “This system’s infrastructure will most likely be unbiased of the experience that powers totally different charge packages along with RTGS, NEFT, and UPI. The lightweight and moveable charge system would solely be activated “as needed,” primarily based on RBI, and it may very well be meant to run on elementary {{hardware}} and software program program,” acknowledged Vinit Khandare, CEO and Founder, MyFundBazaar.

    Through these initiatives, the RBI objectives to strengthen the safety, effectivity, and trustworthiness of charge packages in India, guaranteeing their resilience and continuity even throughout the face of utmost circumstances.

     

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    Updated: 01 Jun 2023, 12:51 PM IST

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  • New revenue tax e-filing portal to problem fast refunds. Check options

    The new ITR e-filing portal is about to go reside from 7 June. The present portal will stay non-operational until 6 June to arrange for the launch and migration of knowledge to the brand new revenue tax e-filing portal.

    “In order to avoid any inconvenience to taxpayers, the department will not fix any compliance dates during this period. Further, directions have been issued to fix the hearing of cases or compliances only from 10 June 2021 onwards, to give taxpayers time to respond on the new system. If any hearing or compliance which requires submissions online has been scheduled during this period, the same will be preponed or adjourned and the work items would be rescheduled after this period,” stated the round issued by CBDT.

    The new e-filing portal is aimed toward offering comfort and a contemporary, seamless expertise to taxpayers. Take a take a look at the options of the brand new e-filing portal.

    The new e-filing portal built-in with rapid processing of Income Tax Returns (ITRs) will assist problem fast refunds to taxpayers.

    All interactions and uploads, pending actions shall be proven on a single dashboard for follow-up motion by the taxpayer

    Taxpayers will get freed from value ITR preparation software program which shall be out there on-line and offline. The software program may have interactive questions to assist taxpayers file ITR even with none tax information, with prefilling, for minimizing knowledge entry effort.

    For help, the brand new name centre is about as much as present rapid solutions to taxpayer queries with FAQs, Tutorials, Videos and Chabot/reside agent.

    All the essential revenue tax e-filing portal capabilities on the desktop may also be out there on cell app that shall be enabled subsequently for full anytime entry on a cell community.

    A brand new on-line tax fee system on the brand new portal shall be enabled subsequently with a number of new fee choices utilizing internet banking, UPI, bank card and RTGS/NEFT from any account of the taxpayer in any financial institution, for straightforward fee of taxes.

    The revenue tax division requests the endurance of all taxpayers and different stakeholders in the course of the switchover to the brand new e-filing portal and the next preliminary interval whereas they get familiarized with the brand new system.

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  • NEFT system to be unavailable for 14 hours on Sunday resulting from technical improve

    The fashionable National Electronic Funds Transfer (NEFT) system for on-line switch of funds will stay unavailable for 14 hours from Saturday mid-night until Sunday afternoon due technical improve, the Reserve Bank of India mentioned on Monday.
    National Electronic Funds Transfer (NEFT) is a nation-wide centralised fee system owned and operated by the Reserve Bank of India (RBI). It is out there around the clock availability on all days of the yr.
    A technical improve of NEFT, focused to boost the efficiency and resilience, is scheduled after the shut of enterprise of May 22, 2021, RBI mentioned in a press release.

    “Accordingly, NEFT service will not be available from 00:01 hrs to 14:00 hrs on Sunday, May 23, 2021. The RTGS system will continue to be operational as usual during this period,” the RBI mentioned.
    The RBI has requested banks to tell their clients to plan their fee operations accordingly.
    Similar technical improve for real-time gross settlement (RTGS) was accomplished on April 18, 2021.

    RTGS facility is used for high-value fund transfers. NEFT can be a near-real-time funds switch facility. NEFT presently operates in batches on half-hourly intervals all through the day.
    Besides funds switch, NEFT system can be used for a wide range of transactions together with fee of bank card dues to the cardboard issuing banks, fee of mortgage EMI, and inward international trade remittances, amongst others.

  • Why NEFT cash switch won’t be accessible for 14 hours on May 23

    The National digital funds switch (NEFT) service for fund transfers won’t be accessible for 14 hours on May 23, the Reserve Bank of India (RBI) has stated.

    “A technical upgrade of NEFT, targeted to enhance the performance and resilience, is scheduled after the close of business of May 22, 2021. Accordingly, NEFT service will not be available from 00:01 hrs to 14:00 hrs on Sunday, May 23, 2021. The RTGS system will continue to be operational as usual during this period,” the RBI tweeted in the present day.

    Member banks might inform their prospects to plan their fee operations accordingly.

    Similar technical improve for RTGS was accomplished on 18 April 2021.

    NEFT is out there 24X7. However, the switch in case of NEFT occurs in batches of half an hour. There is not any most restrict on the quantity that one can switch by NEFT, however totally different banks have totally different limits on the quantity that may be transferred.

    In order to switch cash by NEFT an individual wants to say the IFSC code, the identify of the beneficiary, the identify and checking account variety of the individual to whom cash must be transferred.

    Last month, the central financial institution had proposed to increase RTGS and NEFT amenities to non-bank fee system corporations in a phased method. The goal of the transfer is to encourage participation of non-banks throughout fee methods.

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  • RTGS cash switch facility will stay unavailable for 14 hrs from tomorrow

    The RTGS facility for high-value transactions will stay unavailable for 14 hours from midnight of Saturday to Sunday because of technical improve to additional enhance the catastrophe restoration time of the system, the RBI stated in a press release.

    A technical improve of RTGS, focused to boost the resilience and to additional enhance the Disaster Recovery Time of the RTGS system, is scheduled after the shut of enterprise of April 17, the Reserve Bank of India stated on Monday.

    “Accordingly, RTGS service will not be available from 00:00 hrs to 14.00 hrs on Sunday, April 18, 2021,” the RBI stated.

    “Member banks may inform their customers to plan their payment operations accordingly,” it additional added. “RTGS Members will continue to receive event update(s) through system broadcasts,” the central financial institution talked about.

    The RTGS facility was made out there round the clock on all days from December 14 final yr, making India one of many few international locations to function the system 24×7.

    However, the National Electronic Funds Transfer (NEFT) system will proceed to be operational as normal throughout this era, RBI stated.

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  • Know how to decide on between NEFT, RTGS, IMPS

    NEW DELHI: Over time the way in which folks can switch cash on-line has been altering. There are numerous methods through which one can switch cash on-line together with the National Electronic Fund Transfer (NEFT), Real Time Gross Settlement (RTGS) and Immediate Payment Services (IMPS), amongst others.

    Let’s take a look on the options of all these strategies:

    NEFT: NEFT is offered 24*7. However, the switch in case of NEFT occurs in batches of half an hour. There is not any most restrict on the quantity that one can switch by way of NEFT, however completely different banks have completely different limits on the quantity that may be transferred.

    In order to switch cash by way of NEFT an individual wants to say the IFSC code,the identify of the beneficiary, the identify and checking account variety of the individual to whom cash must be transferred.

    RTGS: In case of RTGS, one can switch a minimal of ₹2 lakh at a time. The transfers are steady, on a transaction-by-transaction foundation. There is not any restrict on the quantity one can switch.

    UPI: As per National Payments Corporation of India (NPCI) norms, the higher restrict per UPI transaction is Rs.1 Lakh. Most banks cap the every day transaction restrict through UPI on the identical quantity, so even if you’re making a number of transactions, you might not be capable to exceed transferring greater than ₹1 lakh per day. Also, some banks might have decrease particular person transaction limits, every day transaction limits, or each.

    “There are two major variations between UPI, NEFT, and RTGS. The first is the amount of cash you’ll be able to switch at a time. Typically, most banks permit NEFT and RTGS transfers of as much as Rs2 -10 lakh. Some banks might waive off an higher restrict for RTGS completely, whereas others might permit prospects to set their particular third-party switch limits for something between Rs25 lakh to Rs2 crore through web banking,” stated Adhil Shetty,CEO, Bankbazaar.com.

    “The second difference is the time taken. The UPI is instantaneous, and the transfer happens in a few seconds. RTGS takes longer at times as much as half an hour. NEFT, on the other hand, is processed in batches. So the time taken to process the transfer may be longer. Decide on the payment depending on the transaction amount,” stated Shetty.

    (Do you’ve a private finance question? Send in your queries at [email protected] and get them answered by trade consultants.)

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  • How will customers withdraw cash from cellular wallets at ATMs?

    In the most recent financial coverage, the Reserve Bank of India (RBI) allowed money withdrawal and service provider cost from pay as you go devices (PPIs) similar to cellular wallets. The banking regulator additionally permitted them to turn into a part of RBI’s centralized cost techniques—RTGS (real-time gross settlement) and NEFT (nationwide digital funds switch).

    The developments deliver wallets at par with financial institution accounts. However, the previous don’t have an account quantity. Wallet firms don’t personal ATMs both. So, how does a person withdraw cash from wallets at ATMs or pay at a service provider?

    “Wallets will subject a pay as you go card to their prospects. Using the cardboard, they will withdraw cash at ATMs and swipe the cardboard at service provider shops,” mentioned Praveen Dhabhai, director and chief working officer, Payworld Money, a funds firm that additionally has a cellular pockets.

    Also Read | Why insolvency execs reside on the sting

    In October 2018, RBI had issued pointers on the interoperability of wallets. It allowed wallets to supply cash switch through UPI (unified funds interface) and subject pay as you go playing cards on networks RuPay and Visa. Until now, this was non-compulsory, and there have been few takers. But within the latest financial coverage assessment, the central financial institution has made it obligatory for PPIs to be interoperable.

    According to the notification, interoperability would occur in three phases. First, wallets will be part of UPI. Second, wallets could be allowed to switch cash to a checking account utilizing UPI. In the ultimate section, PPIs will probably be allowed to subject playing cards. Some firms that volunteered have already began issuing playing cards.

    At current, wallets can not use Aadhaar Enabled Payment System (AEPS), which banks provide. That’s as a result of most customers don’t hyperlink their wallets to Aadhaar, in response to Dhabhai.

    Do you’ve got private finance queries? Send them to [email protected] and get them answered by trade specialists.

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