Real time gross settlement systems (RTGS) are specialist funds transfer systems where transfer of money or securities takes place from one bank to another on a "real time" and on "gross" basis. It can be defined as the continuous (real-time) settlement of funds transfers individually on an order by order basis (without netting).
2. AGENDA
E-Transfer Systems in INDIA
RTGS
Why RTGS ?
What If, NO RTGS ?
Making RTGS Payments
Timings
Transaction Amount
Processing Charges
RTGS : Visual Overview
RTGS Customer Support
Similar RTGS in Other Countries
Reference
3. E-Transfer Systems in INDIA
NEFT
National Electronic Funds Transfer
RTGS
Real Time Gross Settlement
IMPS
Immediate Payment Service
4. RTGS
continuous (real-time) settlement of funds transfers
individually on an order by order basis
Real Time - processing of instructions at the time they are
received
payment transaction is not subjected to any waiting period
Gross Settlement - settlement of instructions occurs
individually
transaction is settled on one to one basis without bunching or
netting with any other transaction
payments are final and irrevocable
5. Why RTGS ?
lower cost of transaction as compared to cost of
transaction and remittance through draft
reduces the cost of exchanging goods and services
indispensable to the functioning of the
interbank, money, and capital markets
technical efficiency of the payment system is
important for development of an economy.
6. What If, No RTGS ?
severely drag on the stability & developmental capacity
of a national economy
inefficient use of financial resources
inequitable risk-sharing among agents
actual losses for participants
loss of confidence in the financial system
8. Information needed for Effective
Remittance
Amount to be remitted
Remitting customer’s account number which is to be
debited.
Name of the beneficiary bank.
Name of the beneficiary.
Account number of the beneficiary.
IFSC code of the destination bank branch
10. Transaction Amount
Minimum : INR 200,000 (for INDIA)
Maximum : No Limit
maximum amount may vary with respect to banks
For example, RTGS maximum Amount Limit in SBI
Rs.5 million for small & medium enterprise
Rs.5 billion for large & very large corporate
18. RTGS Customer Support
contact Branch/Bank
(OR)
contact Customer Service Department of RBI
The Chief General Manager
Reserve Bank of India
Customer Service Department
1st Floor, Amar Building, Fort
Mumbai – 400 001
(OR)
Mail to : cgmcsd@rbi.org.in
19. Similar RTGS in Other Countries
Britain
Clearing House Automated Payment System (CHAPS)
Canada
Large Value Transfer System (LVTS)
Australia
Reserve Bank Information and Transfer System (RITS)
United States
Federal Reserve Wire Network (Fedwire)
European Union
Trans-European Automated Real-time Gross Settlement Express Transfer System 2
(TARGET2)
Singapore
MAS Electronic Payment System Plus (MEPS+)
Switzerland
Swiss Interbank Clearing (SIC)
Saudi Arabia
Saudi Arabian Riyal Interbank Express (SARIE)
20. Reference
Reserve Bank of India
State Bank of India
Industrial Credit and Investment Corporation of India
http://en.wikipedia.org/wiki/Indian_settlement_syste
ms
http://en.wikipedia.org/wiki/Real_Time_Gross_Settle
ment
Casansaar.com
JagoInvestor.com