Fund transfers via RTGS, NEFT to cost less from 1 July; non-subsidised LPG cylinders to be cheaper by Rs 100 in Delhi

Starting Monday, fund transfers through RTGS and NEFT systems will cost less as Reserve Bank of India (RBI) has waived all charges on these transfers and asked banks to pass on the benefits to customers.

The Real Time Gross Settlement System (RTGS) is meant for large-value instantaneous fund transfers while the National Electronic Funds Transfer (NEFT) System is used for fund transfers of up to Rs 2 lakh.

Country's largest bank SBI charges between Re 1 and Rs 5 for transactions through NEFT and between Rs 5 and Rs 50 for RTGS route.

 Fund transfers via RTGS, NEFT to cost less from 1 July; non-subsidised LPG cylinders to be cheaper by Rs 100 in Delhi

Representational image. Reuters

RBI last month said it reviewed the various charges levied by it on the member banks for transactions processed in the RTGS and NEFT systems.

In order to provide an impetus to digital funds movement, the central bank decided that with effect from 1 July, 2019, processing charges and time-varying charges levied on banks by RBI for outward transactions through the RTGS, as also the processing charges for transactions processed in NEFT will be waived by the Reserve Bank.

"The banks are advised to pass on the benefits to their customers for undertaking transactions using the RTGS and NEFT systems with effect from 1 July, 2019," it said.

The Reserve Bank levies "minimum charges" on banks for transactions routed through its RTGS and NEFT, and banks, in turn, levy charges on their customers.

Starting Monday, non-subsidised cooking gas cylinders will also cost Rs 100 less in Delhi.

According to Indian Oil Corporation (IOC), non-subsidised liquefied petroleum gas (LPG) cylinders will be available for Rs 637 per cylinder.

"The price of non-subsidised LPG in Delhi will decrease by Rs 100.50/cylinder with effect from 1 July, 2019 based on LPG prices in international market and USD-rupee exchange rate," IOC said in a press release.

Subsidised LPG cylinder will now come down to Rs 494.35 after the fresh rate revision.

With PTI inputs

Updated Date: Jul 01, 2019 14:38:14 IST