How long does it take for an NEFT transfer to get credited to an account?

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    National Electronic Funds Transfer (NEFT) is a swift and reliable way of crediting the account of a beneficiary. Under NEFT individuals, firms and corporates can electronically transfer funds from their bank branch to any individual, firm or corporate having an account with any other bank branch in the country participating in the Scheme.

    Timings for NEFT Transfer

    The NEFT transfer timings are from 8.00 am to 6.30 pm, while for RTGS it is from 8 am to 4.30 pm. It is important to remember that this on all days except on Sundays and the second and fourth Saturdays.

    The time frame

    The time taken really depends on  a host of factors. In case it does then there are bright chances that your NEFT transfer has not gone through. In this case you have to take necessary steps and inform the banker. It does happen at times that a bank account may have been frozen, which is why there has been a delay in the NEFT transfer being credited. That is highly likely for a host of reasons. It also goes in batches and not in one shot, which is why it does take some time.

    What happens if there is no credit?

    There could be several reasons as to why a transaction is not complete by suitable credit to the account of a beneficiary. If for any reason it is not possible to credit the account of a beneficiary the destination banks is required to return the transaction (to the originating branch) within two hours of completion of the batch in which the transaction was processed.

    For example, if a customer submits a fund transfer request at 12.05 p.m. to a NEFT-enabled branch, the branch in turn forwards the message through its pooling centre to the NEFT Clearing Centre for processing in the immediately available batch which (say) is the 1.00 pm batch. If the destination bank is unable to afford the credit to the beneficiary for any reason, it has to return the transaction to the originating bank, not later than in the 3.00 pm batch.
    On receiving such a returned transaction, the originating bank has to credit the amount back to account of the originating customer. To conclude, for all uncredited transactions, customers can reasonably expect the funds to be received back by them in around 3 to 4 hours time.

    That however is never the case, as practically speaking, we have even seen credits happening in a period of 1 to 1 and half hours.

    Should you do NEFT or RTGS?

    You should do NEFT transfers for small sums of money, while you should do RTGS for larger sums. Make sure that you keep checkig your account to see if the NEFT amount is credited. In most cases, you will receive an SMS saying that your NEFT amount is credited to the beneficiary.
    However, you need to register with your bank to ensure that you receive the SMS and the amount is credited to the account. In case, it does not you can take up the matter with your bank and in case there is no response, you can talk to the RBI officials.

    Is NEFT Transfer safe?

    The NEFT transfer though it may take time, and is not like credit happens in real time, is one of the safest. NEFT transfer may take as long as one hour, but, in the end it is rather safe. In fact, it has emerged as the safest and the most reliable way to send and receive money through the electronic route. It has made way for lesser and lesser dependence on the cheque. If you are looking for a reliable way to send and receive money, the NEFT transfer mechanism is the best.

    Who can use NEFT?

    Individuals, corporate house who are maintaining bank accounts can transfer funds using the NEFT mechanism. Individuals who do not have a bank account (i.e. walk-in customers) can directly deposit cash through NEFT enabled branches with instructions to transfer funds using NEFT and the remitted amount is restricted to a maximum of Rs 50,000 per transaction. These customers have to provide complete details like name, phone number, residential address and so on, before availing such facilities in the bank branches.

    What are the minimum and maximum limit on the amount that could be transferred through NEFT?

    There is no minimum or maximum limit on the amount of funds that could be transferred through NEFT. In case of cash-based remittances within India, the maximum amount per transaction is restricted to Rs 50,000 and it is also applicable for remittance to Nepal, under the Indo-Nepal Remittance Facility Scheme.

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