NEFT - INTRODUCTION OF CONTINUOUS RELEASE OF CREDIT MESSAGES

Notification No.:RBI/2012-13/417

Date: 18/02/2013

Please refer to our circular DPSS. CO. EPPD No. 840/ 04.03.01/ 2012-13 dated November 26, 2012 on the captioned subject.

It has now been decided to implement the feature of continuous release of credit messages in the National Electronic Funds Transfer (NEFT) system with effect from Saturday, 9th March 2013. The required changes in the NEFT processing software at the National Clearing Centre, Mumbai will be implemented after the EOD on March 08, 2013 (Friday). Any change requirement in the SFMS/NEFT setup at banks’ end will be communicated in due course to all the member banks by IDRBT.

As indicated in the above circular, the feature of continuous release of credit messages is being introduced with the objective of providing maximum time to beneficiary/destination banks to process the inward NEFT transactions, thereby facilitating more efficient handling of growing transaction volumes in the system.

Further, the feature also envisages the optimum use of network resources and processing capacity by spreading the release of messages throughout the one hour time window between the two batch settlements.

Some clarifications regarding the sequencing of message flow under the new feature as well as start of day and end of day operations, and handling of rescheduled and return messages, is provided in the Annex.

Banks are advised to carefully monitor very high value transactions originated from their end as also the availability of funds in their settlement accounts. 

As clearly indicated in the NEFT Procedural Guidelines messages once sent by the originating bank are irrevocable.

Regards

CA. Mona Singhal

Partner

Arpit Gupta & Associates

Chartered Accountants

701, Nirmal Tower,

26, Barakhamba Road,

Connaught Place, 

Delhi-110001

Mobile No. +91-9873082769

Website: www.caaga.co.in