Electronic fund transfers using Real Time Gross Settlement (RTGS) system have been doubled limit to Rs 2 lakh by Reserve Bank of India. The new rates would come into effect from November 15.
"It has been decided to increase the threshold limit for RTGS transactions from the present limit of Rs 1 lakh to Rs 2 lakh," the RBI said.
Using the RTGS system, high end money transfer can be facilitated from one bank to another on a real time and gross basis.
"With the increased number of electronic payment transactions, it has become expedient to position the Indian RTGS system primarily for processing and settling large value payment orders," the RBI had said in its second quarter monetary policy review.
The RBI handles around 60,000 RTGS and around 50,00,000 cheque clearing transactions per day on an average.
"The revised threshold limits for customer transactions in RTGS system and revised NEFT service charges will be implemented with effect from November 15, 2010," the RBI said.
For fund transfers valued between above Rs 1 lakh and Rs 2 lakh, the RBI has revised the customer charges downward to Rs 15 from Rs 25 earlier. The fee for fund transfers worth more than Rs 2 lakh remains unchanged at Rs 25.