RTGS facility will now be available 24X7, will be able to make contactless payment 5 thousand instead of 2 thousand rupees: RBI Governor

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Reserve Bank of India (RBI) Governor Shaktikanta Das said today that the facility of transfer of money through a real-time gross settlement (RTGS) will start in the next few days. At the RBI Monetary Policy Committee meeting, Shaktikanta Das said, "The RTGS system will be made 24X7 in the next few days."


The RTGS system is mainly for money transactions. It happens on a real-time basis. The minimum amount to be sent through RTGS is Rs 2 lakh, with no maximum limit. In this transfer, upon receiving a transaction from the beneficiary bank, an instruction to transfer the money is received immediately and the money arrives immediately. Currently, RTGS is available to customers from 7 am to 6 pm on all working days of the week, except the second and fourth Saturdays of every month.


Talking about adopting digital payments in a secure manner, he said that from January 1, transactions can be increased from Rs 2,000 to Rs 5,000 through cards and UPI.


What is the contactless payment?

If you do some shopping from anywhere and you have a contactless card, then you can also pay without a pin. For this, you will not need to insert a card into the PoS machine. Suppose if you have gone to a shop to buy something and after the purchase, you forget the PIN at the time of payment, then you will get the benefit of this facility at such time. This transaction is called contactless payment.

With effect from July 2019, RBI has stopped levying transactions on transactions through NEFT and RTGS with a view to promoting digital transactions in the country.

The Monetary Policy Committee (MPC) of RBI has decided to keep the repo rate unchanged at 4 percent. Repo is the rate at which the RBI lends money to commercial banks when needed. The reverse repo rate is the rate at which the RBI borrows from banks.