Introduction to RTGS Transactions

Real Time Gross Settlement (RTGS) is a quick fund transfer method that lets customers transfer their funds from one bank account to another electronically. RTGS is a fully-secure fund transfer method maintained by the Reserve Bank of India (RBI) to enable transfers within the country. 

RTGS is mainly used to transfer large-value transactions, and there is no maximum limit for RTGS transfers through the bank. Although the maximum amount can vary from bank to bank, there is generally a limit of INR 25 lakh per day for some banks when it comes to online transactions. Some of the key features of RTGS are:

  • The minimum amount you can transfer via RTGS has to be above INR 2 lakh
  • It is a safe and secure method to transfer funds, and the fund transfer is made instantly
  • Funds can be transferred on all days; there are no specified RTGS timings or other restrictions
  • There is no risk of loss/theft of physical assets and fraudulent encashment
  • RTGS transactions can be initiated from anywhere using the internet banking option (ideal to be done at the home, workplace, or using a device that is safe and not a public-access machine)
  • RTGS transactions have no fees or charges thanks to the directive from the RBI that came into effect on July 01, 2019

RTGS Transfer Timing

As per the directive from the RBI, as on December 14, 2020, RTGS payments will be available to customers 24x7x365. This means it can be done anytime, on holidays, or outside banking hours. 

How Much Time Does RTGS Transfer Take?

RTGS transactions are performed transaction after transaction, meaning there is hardly any wait time for the funds to be remitted to the beneficiary’s bank account. The RTGS transfer time to reflect in the receiver’s account is generally a few seconds. However, it can extend to a few minutes in case of technical delays or challenges.

As per the RBI mandate, the beneficiary bank has to credit the amount to the beneficiary account within 30 minutes of the fund transfer being initiated. Therefore, if the amount has not been received in your account even after 30 minutes, you may want to check with the sender’s bank about the delay. 

Things to Remember When Using RTGS Transfer?

While RTGS is a fast and secure fund transfer method, it is always important to know the terms and conditions. Some of the common guidelines include the following:

  • The amount will be paid only to the account mentioned in the RTGS form.
  • In case an RTGS payment is initiated, it cannot be canceled.
  • Before making any transfers, it is highly recommended to go through the RTGS form and make the money transfer accordingly.
  • The user has to select either RTGS or NEFT when filling out the fund transfer form. The bank will decide which fund transfer method will be used if no mode is selected.
  • If the beneficiary details mentioned are incorrect, the bank is not liable for any consequences arising from the error.
  • If there is a failed payment, the amount must be returned to your bank account. If the compensation is not returned for failed payments, you are eligible for compensation of the current repo rate plus 2%.


As you can see, RTGS fund transfer is a quick and safe method for transferring funds and can be used when you have to share a large amount. There are no stipulated limitations to RTGS timings, and this fund transfer can be done 24*7*365. To make an RTGS transfer, all you need to input are the following:

  • Your account details.
  • Beneficiary account number.
  • Beneficiary bank and branch details.
  • Name of the beneficiary.
  • IFSC code for the receiving bank.
  • Amount to be transferred.
  • Remarks, if any.

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