RBI instructs banks not to charge for online transactions in the NEFT from January 2020.
The Reserve Bank of India has taken the following steps to promote digital payments:
- Mandate banks not to charge savings bank account customers for online transactions in the NEFT system with effect from January 2020.
- Operationalise the Acceptance Development Fund to increase acceptance infrastructure with effect from January 1, 2020.
- Constitute a Committee to assess the need for plurality of QR codes and merits of their co-existence or convergence from both systemic and consumer viewpoints.
- Permit all authorised payment systems and instruments (non-bank PPIs, cards and UPI) for linking with National Electronic Toll Collection (NETC) FASTags. Going forward, this will facilitate the use of FASTags for parking, fuel, etc., payments in an interoperable environment.
- Enable processing of e-mandates for transactions through UPI.
Points to remember:
- NEFT charges for online transactions to be free from?- Jan 2020.
- RBI has advised banks to offer free online NEFT services for which type of bank account?- Savings
- RBI has advised to Operationalise the Acceptance Development Fund w.e.f?- January 1, 2020.