National Electronic Fund TRANSFER (NEFT) is one of the most widespread online methods of transferring funds from one bank to another. NEFT is based on a deferred arrangement which actually means that the money is transferred in DIFFERENT sets (batches).

Currently, there are 12 payment settlements sets arranged between the time slab of 8 am and 7 pm for weekdays (MONDAY to Friday) and six payment settlements between 8 am and 1 pm for Saturdays.

Although there isn’t any cap on the amount that one can transfer through NEFT, however, a few banks have put a limit. For instance, SBI (State Bank of India) has put a cap of Rs 10 lakhs for NEFT transfer amount under their retail banking option.

Step-by-step procedure to transfer money via NEFT:

• To start with, your bank branch should be NEFT-enabled. You can visit RBI’s (RESERVE Bank of India) website to check and confirm so.
• Complete the registration process for your net banking account by creating a username and password. However, your mobile number should be registered with your bank to complete the net banking registration.
• Afterwards, you need to add the beneficiary to your account to whom you want to transfer the money. To do this, you will need the beneficiary’s name, her/his bank account number and the IFSC (Indian Financial System Code) of her/his bank branch. IFSC can be either found on the bank statement or on the cheque leaf.
• Once you have successfully added the beneficiary, there might be a waiting time (assigned by the bank) before you can transfer funds to the added beneficiary. Again, for instance, SBI has a waiting time of 4 hours.
• Once logged into your net banking account, go to the option of ‘Transfer Funds’, select the name of the particular beneficiary you want to transfer funds to and complete the transfer with the help of an OTP (One Time Password) sent to your registered mobile number.
• The amount will be transferred to the beneficiary as per the next settlement’s schedule.
• The NEFT costs between Rs 2.50 to Rs 25 (+ service tax), depending on the amount transferred to the beneficiary.
• There are also certain limitations of NEFT transactions like you cannot transfer funds at any time you feel doing so. This service is available only on working DAYS and within the working hours of your bank. You won’t be able to avail this service on weekends and bank holidays.

National Electronic Fund Transfer (NEFT) is one of the most widespread online methods of transferring funds from one bank to another. NEFT is based on a deferred arrangement which actually means that the money is transferred in different sets (batches).

Currently, there are 12 payment settlements sets arranged between the time slab of 8 am and 7 pm for weekdays (Monday to Friday) and six payment settlements between 8 am and 1 pm for Saturdays.

Although there isn’t any cap on the amount that one can transfer through NEFT, however, a few banks have put a limit. For instance, SBI (State Bank of India) has put a cap of Rs 10 lakhs for NEFT transfer amount under their retail banking option.

Step-by-step procedure to transfer money via NEFT: