National Electronic Fund Transfer has increasingly gained acceptance and is fast displacing cheques as the means to sending and receiving money.
There are no disadvantages of this system, except the minimal charges that are applicable, as compared to cheques, which are free. These days there is also the IMPS way of transferring and remitting money.
The NEFT which is an electronic fund transfer system is maintained by the Reserve Bank of India. It was started in November 2005. The system was established and maintained by the Institute of Development and Research in Banking Technology. It helps the bank customers across the country to transfer funds between two NEFT enabled bank accounts on a one - to - one basis. It works mainly on electronic messages. In NEFT fund transfer settlement is done in half-hourly batches with 23 settlement happening between 8:00 in the morning till 19:00 during weekdays and also on the first, third and fifth Saturdays of the calendar month. If a transfer is initiated after this period, then the same will be settled at the next available window. The NEFT transaction can be initiated only when the transaction amount is less than Rs 2 lakh.
With NEFT becoming popular amongst the customers, the RBI in August 2019 announced that it will enable round - the - clock settlements starting from December 2019.
However, there are many individuals who often ask the question: How to know if NEFT amount has been credited to the party.
Here is how you could check the NEFT transaction status?
There are four ways in which you would know if the NEFT transaction is complete:
1) Through SMS
Let us say, you add a beneficiary to the NEFT transfer mechanism, when you are sending and receiving money. You would have to furnish your email and phone number.
After the beneficiaries account has been credited, you get an instant alert, through an SMS, that the beneficiary account has been credited. This is how you would know that the NEFT transaction has been completed. Make sure that you give an updated number when you are making the NEFT transaction.
2) Through EMAIL
You would also know if the beneficiary account has been credited by email. Banks like HDFC Bank allow you an option to either give your email or phone number, before you make an online NEFT transfer.
If you have no net access over your phone, it is better to give the phone number, so as to enable you know immediately if you have received the amount or not. You can instantly check your email and no the status of your NEFT transaction.
3) Contact the bank
You can also contact the bank to know if the NEFT transaction status has been completed. You need to give at least 2 hours.
When should you check your NEFT transaction status?
Normally, the NEFT transaction is almost always completed before two hours, however, at times there can be a delay, which is why we are saying you need to give at least two hours.
Normally, there can be many issues that has led to non credit. For example, if the IFSC code is wrong the amount would almost always be returned back.
In such cases what does happen is that the bank credits the amounts back to the person. This is only when the beneficiaries account is not credited. Check bank IFSC codes here for transferring money through NEFT
What happens when the NEFT amount is not credited?
After checking the NEFT transaction status after completion of two hours and if the amount is not credited, the bank would return the amount and credit to the remitter. The entire process might take sometime. So, you need to wait with some patience.
4) Important to give mobile, email and all other relavent details
It is important to give your mobile number and email ID, so as to enable the bank send either an SMS to you informing you that the beneficiaries account has been credited through the NEFT transaction.
The system is today full proof and if the IFSC codes are correct, there is no question of the amount not being credited. In any case, cross check all relevant details before sending money. IFSC codes are generally used for transferring higher amount, while NEFT is used for remitting lower amounts.
How long to check the status after?
Normally you can check the status after 30 minutes to one hour. In the cities or bigger towns it is doubtful that the amount of time taken would be beyond this. NEFT Transactions have become even more swift these days with the advent of newer and improved technology. The RTGS could be a little faster though that is largely restricted for bigger transactions.