Demystifying SBI RTGS: A Comprehensive Guide to Real-Time Gross Settlement in State Bank of India

It is a fund transfer, where the instructions of processing take place on a real-time basis, i.e., as and when received. Also, the funds transfer instructions for settlement happen individually on an instruction-by-instruction basis, i.e. gross settlement basis.

It is the fastest Interbank money transfer facility available via secure banking channels in India. SBI provides its customers with the option of making RTGS in offline modes by visiting their home branch and as well in online modes with the help of YONO, internet, or mobile banking. 

What is RTGS?

It is a system where the processing of funds transfers takes place in real time, which means as soon as they are received from the remitting bank. 

  • The funds transfer transactions are processed individually based on an order.
  • The funds can be transferred from one bank to the other within India on an immediate basis.
  • It is used for high-value transactions only.
  • The minimum limit in the case of RTGS transactions is INR 2 lakhs; hence, for any transaction below that, one has to go for NEFT.

Features and Benefits of RTGS

The following are a few of the features and benefits of RTGS transactions.

  • Every RTGS is processed individually.
  • Funds get transferred immediately to the beneficiary’s bank.
  • It is available 24*7, even on weekends and bank holidays.
  • It is designed for high-value transactions and has a minimum transfer limit of INR 2 lakhs.
  • They can be initiated either online or offline.
  • It requires a few details like the beneficiary’s name, bank account number, branch, and IFSC.
  • It is reliable, safe, and encrypted to give maximum security.

Details to be filled in the Funds Transfer Form:

Let us know How to Fill out the RTGS Form SBI and the details required to be provided in the RTGS form:

  • Amount to be transferred
  • RTGS charges
  • Enter the mode of payment, i.e. through cheque, cash or direct debit from the bank account with relevant particulars.
  • Name of the Account holder name 
  • Contact details of the account holder 
  • Particulars of beneficiary like name, bank, branch address, account type, account number, IFSC code, and mobile number
  • Branch Name and Code of State Bank of India 

Guidelines for making a SBI RTGS

Mentioned below are some guidelines that should be followed while making SBI RTGS:

  • The bank should follow the RBI guidelines concerning RTGS transactions.
  • The amount can only be transferred to the account number mentioned in the RTGS Form.’
  • All the applicable charges and taxes on RTGS would be deducted from the remitter’s bank account.
  • If the information provided on the RTGS Form is incorrect, then the bank will not be held liable for the consequences that are to be faced due to erroneous information being provided. 
  • The remitter must tick RTGS in case a combined NEFT and RTGS Form is received. Otherwise, it will be self-decided by the bank. The bank will do NEFT in case the funds transfer is less than INR 2 lakhs and TGS in case the amount to be transferred is more than INR 2 lakhs.
  • The RTGS Form must be read first before making the transfer of funds.

Charges for RTGS

Mentioned below are the SBI RTGS Charges:

Transaction AmountSBI RTGS Charges
INR 2 lakhs – INR 5 lakhsINR 20 + GST
More than INR 5 lakhsINR 40 + GST

Limit for RTGS

Mentioned below is the limit for funds transfer via SBI RTGS under Retail Banking:

Minimum / Maximum amount for RTGS transactions under Retail Internet Banking
TypeMinimumMaximum
RTGSINR 2 LakhsINR 10 Lakhs

Mentioned below is the limit for funds transfer via SBI RTGS under Corporate Internet Banking:

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Minimum / Maximum amount for RTGS transactions under Corporate Internet Banking
TypeMinimumMaximum
(per transaction)
Maximum
(per day)
RTGSINR 2 LakhsSaral – INR 10 Lakhs
Vyapaar – INR 50 Lakhs
Vistaar – INR 2000 Crores
Saral – INR 10 Lakhs
Vyapaar – No Limit
Vistaar – No Limit

How Does RTGS Work?

There are two modes available to make RTGS, i.e. online and offline that are discussed below:

  1. Online Mode:

Step 1: Open the SBI’s official website. Then log in with the help of your ID and password.

Step 2: Add the beneficiary’s account details and authenticate them using OTP.

Step 3: Click on RTGS and enter the required details like amount, account number, and remarks. 

Step 4: Click on “Confirm”.

Step 5: The funds will get transferred to the beneficiary’s account.

Step 6: The SBI Statement can be checked to confirm whether the amount has been debited or not.

  1. Offline Mode:

Step 1: Visit any nearest branch and fill out the form.

Step 2: Enter the date and amount.

Step 3: Fill out the cheque details, personal details, and beneficiary’s details. 

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Step 4: Submit the RTGS form to a bank representative, who will then verify the details and process the RTGS.

Advantages of RTGS

Mentioned below are the advantages of making SBI RTGS Funds Transfer:

  • It is quite a safe and secure system of transferring funds.
  • There is no maximum limit on RTGS transactions.
  • This service is available round the clock, i.e. 24×7 and 365 days.
  • The funds are transferred to the beneficiary in real-time, i.e., on an as-and-when-received basis.
  • There is no need to use a cheque or DD at the time of processing RTGS.
  • As RTGS can be done online, the remitter is not required to visit the bank to make a fund transfer.
  • The RTGS charges have been capped by RBI, which may vary from one bank to another.
  • The RTGS transactions have legal backing.
  • RTGS transactions can be initiated at any time and from anywhere.
  • There is no risk of funds being stolen.

Conclusion

In this era of digitisation, transferring money from one account to another account has become a piece of cake. Online mode of payment has become the first option for customers nowadays. No one wants to physically visit a bank branch to transfer money, as it saves time and money.

Users can choose any one of the various modes of payment depending upon the amount to be transferred, the time duration in which it should be credited to the receiver’s bank account, etc. NEFT and RTGS are two of the many methods of fund transfer available to the users. Both of these methods have their advantages and disadvantages; the user can decide which to choose depending on their requirements.