Question

What' is meant by RT.GS ? Give any two features of R.T G.S. 

Answer 1

Real-Time Gross Settlement (RTGS) is an electronic form of funds transfer where the transmission takes place on a real-time basis. In India, transfer of funds with RTGS is done for high-value transactions, the minimum amount being ₹ 2 lakh The beneficiary account receives the funds transferred, on a real-time basis. 

Features of R T.G S.

1. An RTGS electronic fund transfer facilitates fund transfer on real lime basis. In case of a holiday. the amount gets credited on the next working day. 
2. RTGS could also be done offline by submission of the remittance form at the bank branch of the remitter. 
3. RTGS avoids the cost involved in other instruments of fund transfer such as demand draft.