Now money transfer via RTGS/NEFT will be more safe, RBI may soon launch this new feature
The Reserve Bank of India (RBI) has suggested a new feature that will allow people sending money through Real Time Gross Settlement (RTGS) and National Electronic Funds Transfer (NEFT) to check the name of the person receiving the money before completing the transaction.
Right now, payment systems like UPI and IMPS already let users verify the receiver’s name, helping them make sure they are sending money to the right person. But this feature is not available in RTGS and NEFT payments. For example: When you transfer money via Paytm and enter account number then name of beneficiary is shown automatically. This helps the sender to verify whether he is sending money to correct person or not.
This feature proves to be really beneficial while transferring money from one account to another and public requested RBI to implement this feature in RTGS and NEFT transactions also. Now, RBI has come up with a proposal to make RTGS and NEFT transactions safer and secure.
What the RBI Governor Said
After a recent meeting, RBI Governor Shaktikanta Das said, “We are introducing a ‘beneficiary account name look-up facility’ for RTGS and NEFT. This will allow the person sending money to check the name of the receiver by entering their account number and branch IFSC code before sending the funds.”
He added, “This new feature will give people more confidence when transferring money, as it will reduce the chance of sending money to the wrong account and help prevent fraud. We will release detailed guidelines soon.”
