Electronic Fund Transfer scheme of RBI has been renamed as ........................ Options: A . &nbspClearing B . &nbspCore Banking Solutions C . &nbspReal Time Gross Settlement D . &nbspNational Electronic Fund Transfer E . &nbspNone of these

Electronic Fund Transfer scheme of RBI has been renamed as ....................

Question

Electronic Fund Transfer scheme of RBI has been renamed as ........................

Answer: Option D
Definition of National Electronic Funds Transfer (NEFT): National Electronic Funds Transfer (NEFT) is a nation-wide payment system facilitating one-to-one funds transfer. NEFT is used for transferring funds between any two parties having an account with any bank branch in the country.

Explanation:
The Reserve Bank of India (RBI) has renamed its flagship electronic fund transfer scheme as National Electronic Funds Transfer (NEFT) w.e.f. November 16, 2020. It is a nation-wide payment system facilitating one-to-one funds transfer. NEFT is used for transferring funds between any two parties having an account with any bank branch in the country.

Advantages of NEFT:
• It is a fast, secure, and hassle-free mode of funds transfer.
• The funds can be transferred to any bank branch throughout India.
• It is available 24X7 and even on holidays.
• No minimum amount is required for transferring funds through NEFT.
• The transaction cost is low.
• Funds can be transferred from one account to another within a few minutes.

Disadvantages of NEFT:
• It is not suitable for large amounts as the transaction cost is high.
• The funds are not transferred on the same day.
• The transfer of funds through NEFT is limited to Rs.2 lakhs per transaction.
• The funds can be transferred only during bank working

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