India RTGS Payments Overview
A RTGS system is defined as a gross settlement system in which both processing and final settlement of funds transfer instructions can take place continuously (i.e. in real time). As it is a gross settlement system, transfers are settled individually, that is, without netting debits against credits. As it is a real-time settlement system, the system effects final settlement continuously rather than periodically, provided that a sending bank has sufficient covering balances or credit. Moreover, this settlement process is based on the real- time transfer of central bank money.
The RTGS product processor of Oracle Banking Payments processes an RTGS payment transaction initiated by an Operations user from the in-built user interface or by customers in the bank’s Customer Channels like Internet banking or Mobile banking. The payment instructions initiated from the bank Channels are received by Oracle Banking Payments through ReST or SOAP based interfaces.
- RTGS transactions can be broadly classified as Customer Transfer, Bank Transfer, Bank Transfer Own Account.
- In RTGS transaction, the beneficiary branches are expected to receive the funds in real time as soon as funds are transferred by the remitting bank. The beneficiary bank has to credit the beneficiary's account within 30 minutes of receiving the funds transfer message.
- The remitting bank receives a message from the Reserve Bank that money has been credited to the receiving bank. Based on this the remitting bank can advise the remitting customer through SMS that money has been credited to the receiving bank.
- If it is not possible to credit the funds to the beneficiary customer¡¦s account for any reason e.g. account does not exist, account frozen, etc. payment is returned to the originating bank within one hour of the receipt of the payment or before the end of the RTGS Business day, whichever is earlier
- Once the money is received back by the remitting bank, the original debit entry in the customer's account is reversed.
- Transaction Limit and Business Hours:
- The minimum amount to be remitted through RTGS is 2 lakh. There is no upper ceiling for RTGS transactions.
- The RTGS service window for customer's transactions is available to banks from 9.00 hours to 16.30 hours on week days and from 9.00 hours to 14:00 hours on Saturdays for settlement at the RBI end.
- Supports following transactions types and messages:
- Outbound and Inbound transactions for Customer Transfer(Pacs.008), Bank Transfer(Pacs.009)
- Outbound Own Account Transfer(Pacs.009)
- Inbound and Outbound Return transactions(Pacs.004)
- ADMI.004 ACK/NAK messages with event codes such as F20, F25, F27
- Camt.054 Debit and Credit notification messages
- Camt.054 EOD and SOD messages
- Inbound credit to Loan account and GL account
- Outbound Prefunded transactions
- Supports following functionalities:
- 24x7 processing
- Beneficiary registration for outbound transactions
- Account Validation Checks - NRE Account
- Legal Entity Identifier (LEI) Checks
- Notification to channels on transaction processing
- Initiation of RTGS Outbound transactions using following options:
- UI screens
- Single Payment Service
- Bulk file upload - C2B Pain.001 file
- GEFU Upload
- Supports maintenance for SFMS Connectivity
Parent topic: Domestic High Value Payments - India RTGS