NEFT helps in easy transfer of money from bank account to others. Here get detail information of NEFT transfer limit and timings, guide for transfer process, charges for transaction limit and benefits of it…
NEFT Full Form
NEFT full form in banking is National Electronic Funds Transfer which is a banking service being utilized during the time of money transfer. A money transfer does happen with the bank account number and the specific IFSC code of 11 digits of the receipt. In the mode of transfer the NEFT comes into picture, which makes your transfer more convenient and easier to deposit.
Firstly National Electronic Funds Transfer doesn’t not impose any limitation on fund transfer and as well there are very low charges for transfer of money. So Many business entities and firms opt for the NEFT to transfer money to their employees or business bank accounts. Hence it is the choice of individuals to opt for this or any other option like IMPS to transfer money.
| Name | National Electronic Fund Transfer (NEFT) |
| Service | Banking service to transfer money |
| Transaction limit | Depends on bank |
| minimum limit | no limit |
| Customer care | 02227561665, 02227573270 |
NEFT Transfer Limit
The very first flexibility of the National Electronic Funds Transfer is, the customer doesn’t get any limitation on transfer funds. This means there is no minimum or maximum amount limitation for transfer. The minimum amount under this can be even Rs 1 whereas the minimum amount for transfer through RTGS is Rs.2 lakhs
Reserve Bank of India does set the limitation for transfer of funds, and they have no limitation for which has been provided to be used by every individual for easy money transactions. Moreover It is specified that the National Electronic Funds Transfer limit per day is set by the banker which is around 20 Lakhs. This limit is only for the day, to hold the transaction and if there is a need to move more than customers can select the RTGS option.
NEFT Transfer
Here we describe how you can opt for the transfer of money through National Electronic Funds Transfer and secure your transfer with the most convenient method. The transfer is done through the net banking facility of every individual.
- The individual needs to collect the Bank Name, Bank Account Number, IFSC code and Name of individual to whom you’re planning to add in the beneficiary to send money.
- Once the beneficiary is added, individuals need to opt the NEFT from the transfer option to send money.
- The Originating branch will deduct the money and then send a message to the pooling center of NEFT. Then the message will be transferred to the NEFT service center for clearing.
- The clearing center will accept the request and then transfer the funds to the recipient bank with a request.Then the receiver bank will then accept the request and move the amount to the recipient’s individual account.
There are very low charges for the transfer of funds through National Electronic Funds Transfer. The charges are based on your funds that are being transferred and here is a list of NEFT charges applied.
NEFT Charges
| Transaction amount | NEFT Charge |
| Upto 10000 rupees | Rs 2.25 + GST applied |
| Rs 10000 to 1 lakh | Rs 4.75 + GST applied |
| 1 lakh to 2 lakh | Rs 14.75 + GST applied |
| 2 lakh to 10 lakh | Rs 24.75 + GST applied |
Benefits of NEFT
There is a list of options that can check, which let you use the National Electronic Funds Transfer for your online money transaction.
- No cheque or demand draft indeed, as well no physical cash transfer required
- Initiate money transfer from your phone and transfer fund in your fingertips
- Complete your transaction without visiting to branch
- Beneficiary also don’t need to visit bank to receive their large amount funded
- Get timely update of transfer or receive in your mobile number as SMS
- Transfer funds to any third-party account number in quick time
Exclusive Benefits of NEFT
Apart from the regular benefits of National Electronic Funds Transfer, there are some exclusive benefits that you must be aware of before using the NEFT facility.
- Pay your credit card dues
- Pay your loan instalments
- Parties get compensation NEFT transfer is not complete on time
- Get 2% interest on total funds transfer if delay
- As per RBI directive, bank should let receive wait to receive money transfer
Reference: rbi.org.in
Are there charges on NEFT for inward transactions?
There are no service charges apply on inward transactions through NEFT. These options are free, as the charges for NEFT are already being deducted from the outward transaction.
Is NEFT or IMPS preferred?
IMPS does transfer the money instantly to the recipient bank account, but it is not much preferred to transfer large amounts. Thus for large amount transfers, it is always prefer to use the NEFT type of money transfer.
Does Google pay use NEFT transfer?
Banks do only IMPS type of transfer to move the funds when the transaction is process through Google Pay or any such money transfer application. They don’t use RTGS or NEFT type of transfer, as the large amount transfer is not preferr from this type of online application.
What if money may not credit through NEFT?
As per the RBI guidelines, if the amount transfer is not successful within the assignment of 2 hours time. As per the delay, the bank will be paying the compensation to the recipient account. This compensation is all as per the regulation of RBI.
How to check the status of NEFT?
Individuals must provide their email or mobile number to the bank to link with their account. As when the intiation of NEFT process, the instant alert will send to the recipient through SMS. This is the only possible way, by which you will receive the status of NEFT transfer.
Can I pay Bill through NEFT?
The bill for your credit card or to pay the bill of any institution for education, can paid through the NEFT. Individuals must fill the NEFT form by filling the recipient account number to initiate the money transfer.