Payment Products

sPayment Settlement products]

* Increase in the number of centers offering MICR clearing

* Introduction of High Value Clearing at additional centers

* Electronic Clearing Services - debits and credits

* Electronic Funds Transfers and Special Electronics funds transfer

* Real Time Gross Settlement System (RTGS)

* Cheque Truncation

* NEFT

Advantages

Real-time Payment Settlement: Payments settled in real time on a transaction-by-transaction basis, as soon as they are accepted by the system.

No Credit Risk :- There is no credit and settlement risk involved in RTGS system for receiving participant as each payment transaction is settled instantly.

Predictability of Cash Flows:- RTGS facilitates predictability of cash flows as customers know when their accounts will be debited or credited.

Benefits to Economy : The instant finality of payments ensures fast, secure and irrevocable settlement of major business and financial market transactions

Advantages to banks

* Senior Management Involvement

* Creating awareness amongst customers

* Create Inter-bank products

* Electronic Delivery Channels- ATMs, Kiosks, Website, etc.,

* Reasonable Pricing

* STP to drive down costs

* Solutions tailored to customers needs

Electronic Funds Transfer (EFT) and Special Electronic Funds Transfer (SEFT) facilitate paperless inter and intra-bank settlements; both inter and intra-city.

There is no Maximum value limit for an individual SEFT/ EFT transaction.

EFT is available at 15 locations: Mumbai, Kolkata, New Delhi, Chennai, Bangalore, Hyderabad, Ahmedabad, Chandigarh, Trivandrum, Jaipur, Nagpur, Guwahati, Bhubhaneshwar, Patna and Kanpur.

EFT and SEFT

SEFT participation is voluntary and participating banks have discretion to define branches that can participate in SEFT

SEFT covers approximately 3200 networked branches of 35 banks in over...