Are you perplexed as to which mode of transfer to opt for? Should it be NEFT or should you go for RTGS? Before finalizing, it is always a better idea to understand both options in holistic view. That’s why, we’ve come up with this post – to draw the differences between NEFT and RTGS along with giving other required details about the two, i.e. NEFT and RTGS charges, transfer limits and eligibility.
What is NEFT?
NEFT full form: National Electronic Funds Transfer
NEFT is an electronic system of transferring funds from one bank to another bank account. This system is run and regulated by RBI, thus ensuring utmost security. NEFT service is available online as well as offline. Where online NEFT window is open 24×7, offline mode is open as per the respective bank timings.
Time taken to credit amount via NEFT: 30 minutes to 4 hours
NEFT Limit per day: No limit
What is RTGS?
RTGS full form: Real Time Gross Settlement.
RTGS is also an electronic system of transferring funds regulated by RBI. But unlike NEFT, RTGS involves large amounts of money transactions (minimum Rs 2 lakhs). Also, RTGS is a real time transferring network in which transfers occur faster than in NEFT.
Time taken to credit amount via RTGS: Within seconds
RTGS limit per day: Minimum Rs 2 lakhs
Also Read: NEFT vs IMPS
NEFT vs. RTGS
To understand the difference between NEFT and RTGS, please refer to the table below:
Particulars | NEFT | RTGS |
---|---|---|
Settlement of payments | Done in batches of 30 minutes | Done in real time* |
Transfer limit | No limit | Minimum Rs 2 lakhs |
Speed of transfer | Within 30 minutes to 4 hours | Faster (no more than 30 minutes) |
Inward transaction charges | NIL | NIL |
Outwards transaction charges | Rs 2.50 to Rs 25 (based on the transaction amount) | Up to Rs 50 (as per transaction amount) |
*as soon as the request is received, transfers are made.

NEFT vs RTGS: Charges
There are no inward charges either on RTGS as well as NEFT payments. However, the following charges are applicable for outward transactions done at branch:
NEFT Charges:
1) Rs 2.50 (up to Rs 10,000)
2) Rs 5.00 (Rs 10,001 – Rs 1 lakh)
3) Rs 15.00 (above Rs 1 lakh – Rs 2 lakhs)
4) Rs 25.00 (above Rs 2 lakhs)
RTGS Charges:
1) Rs 24.50 (for Rs 2 – 5 lakhs)
2) Rs 49.50 (above Rs 5 lakhs)
Did You Know?
There are no inward charges for NEFT and RTGS transactions in India.
NEFT vs. RTGS: Which is Faster?
When comparing the two options of NEFT and RTGS, it is right to say that the payments done via RTGS are faster than those by NEFT. The simple reason behind this difference in time is because NEFT payments are taken in half-hourly batches throughout the day. Whereas in RTGS, payments take place in real-time, i.e. as soon as the transfer request is received by the system, process starts.
Interesting Read: IMPS vs NEFT vs RTGS
NEFT vs. RTGS: Transfer Limit
There is no transfer limit set by RBI for NEFT payments. Some banks like the SBI have put up a minimum capping of Re 1 for NEFT payments but there’s no maximum limit on such transactions.
Contrary to NEFT, RBI has set up a minimum limit of Rs 2 lakhs for carrying payments via RTGS. That said, there is no upper ceiling to RTGS transactions.
Also check NEFT processes for other banks from the table below:
NEFT vs. RTGS: FAQs
Both the options of NEFT and RTGS are safe and RBI-regulated. The choice depends on the sender as to how much money is to be sent and in how much time. If you need to transfer Rs 2 lakhs or more, RTGS is your mode, else, you can go with NEFT as well.
NEFT transfer limits: None
RTGS transfer limits: Minimum Rs 2 lakhs (no upper limit)
Online charges via Netbanking or mobile banking: NIL
Offline NEFT charges: Rs 2.50 – Rs 25 (click for details)
Inward transaction means receiving of funds into one’s own bank account.
Netbanking or mobile banking charges: NIL
Offline RTGS charges: Rs 25 – Rs 50 (click for details)
Yes. RTGS is 100% safe mode of transfer which is run and regulated by the apex body of RBI.
While NEFT and RTGS payments can be done online as well as offline, IMPS payments can only be carried out over the internet. NEFT and RTGS are RBI-regulated but IMPS (Immediate Payment Service) is National Payments Corporation of India or NPCI. Also, IMPS is faster than NEFT and RTGS, both.
Yes. NEFT payments can be carried at your branch. Just ensure that your branch is NEFT-enabled.
Yes. Before the online mode of transfer, RTGS was available only at the branches.
NEFT online window is open 24×7. For offline NEFT timings, please check your bank timings here.
RTGS online window is open throughout the day.
When done at the branch, both NEFT as well as RTGS attract transaction charges. Please note that there are no charges for inward transactions.