NEFT - National Electronics Fund Transfer

About NEFT

National Electronics Fund Transfer (NEFT) is a country-wide electronic fund transfer system for sending money from one bank account to another in a safe and hassle-free manner. All NEFT settlements are made in a batch-wise format. Money can be sent using this system to all NEFT-enabled banks in India on an individual basis.

To initiate a NEFT transfer, Bank IFSC Code is a must, along with other details such as bank account number, bank branch and account holder name, among other details.

NEFT Benefits NEFT Timings NEFT Transaction Limits

Safe and secure


Reliable and error free

Organised and batch-wide settlement


At present from 9.00 a.m. to 7.00 p.m. on all weekdays

At present from 9.00 a.m. to on Saturdays

No minimum or maximum transaction limit

However, per transaction limit is Rs.50,000

How to Transfer Money through NEFT

NEFT Procedure
NEFT Procedure

The procedure for National Electronic Funds Transfer (NEFT) is mentioned below:

To transfer funds via NEFT online follow these procedure

Step 1: First login to your net banking account. If you do not have a net banking account then register for it on the website of your bank.

Step 2: Add the beneficiary as a payee. To do so, you have to enter the following details about the beneficiary in the ‘Add New Payee’ section:

  • Account Number.
  • Name.
  • IFSC Code.
  • Account Type.

Step 3: Once the payee is added, choose NEFT as mode of Fund Transfer.

Step 4: Select the account you wish to transfer money from, select the payee, enter the amount that you wish to transfer and add remarks (optional).

Step 5: Click on submit.

NEFT Transfer Charges and Fee

The recipient bank does not charge anything to the recipient account for a NEFT transaction.

For the sender, the sending bank charges the following based on the amount being transferred as follows:

Transaction Amount NEFT Charges
Amounts upto Rs 10,000 Rs 2.50 + Applicable GST
Amounts above Rs 10,000 and upto Rs 1 lakh Rs 5 + Applicable GST
Amounts above Rs 1 lakh and upto Rs 2 lakh Rs 15 + Applicable GST
Amounts above Rs 2 lakh and upto Rs 5 lakh Rs 25 + Applicable GST
Amounts above Rs 5 lakh and upto Rs 10 lakh Rs 25 + Applicable GST

NEFT Transactions Timings

At the moment NEFT functions in hourly batches hence between the service centers operational hours (8:00 AM to 7:00 PM on any given week day along with 8 am to 1 pm on Saturdays there are 8 and 6 batches that operate, respectively.

Hence money can be transferred from Monday to Saturdays (Except the 2nd and 4th Saturday of the month) from 8:00 AM to 6:30 PM. Also, NEFT transactions do not get credited on public and bank holidays.

But, the sender can queue in the transaction for the recipient and wait, when NEFT picks it up their next working hour and day.

Public Holidays when NEFT Transactions are not completed include Republic Day, Good Friday, Annual Closing of Banks, RBI's Annual Closing of Accounts, Ramzan Id (Id-ul-Fitr)/Ratha Yatra, Independence Day, Dasara / Vijaya Dashami and Muharram.

How NEFT is Different from RTGS

This was said to be the quickest way to transfer money online until UPI came into the picture. The amount for transfer must be more than Rs. 2 lakhs. This is one of the most safe and secure channels for money transfer in the country. Though it is slightly different from NEFT, this form of transaction also requires knowing the the IFSC code of the sender as well as the recipient. The requests are processed instantly post receipt but only in particular banking hours as mentioned by Samarth Sahakari Bank. There are no maximum amount limits for RTGS service .

Check IFSC Code for Top Banks:

How to Pay Credit Card Bill using NEFT

Step 1: Log in to your bank’s internet banking account

Step 2: The next step is to add the credit card as a beneficiary. For this you should know the IFSC code of your credit card

Step 3: Proceed to enter the credit card number as the account number and other relevant details

Step 4: Once the credit card is registered as a payee, go to the ‘NEFT Funds Transfer’ option and make a fund transfer towards your credit card by entering the bill amount

How to add credit card as a payee/beneficiary for NEFT credit card bill payment

Step Detail Process
1 Payee name The name of the payee/beneficiary will be the same as the name printed on the credit card
2 Payee account number This will be the credit card number printed below the name
3 Bank name The name of your bank
4 IFSC code You can get the IFSC code for your credit card by contacting your credit-card issuing bank


  1. What is NEFT?

    Ans: Expanded as National Electronic Funds Transfer, NEFT is an electronic fund transfer process, through which money can be sent from one bank account to another.

  2. Is IFSC code a must for all NEFT transactions?

    Ans: Yes. It is mandatory to provide the IFSC code along with other details to initiate fund transfers.

  3. Do all banks have NEFT facility?

    Ans: No. Not all banks are part of the NEFT network.

  4. How can a customer know if their bank or payee bank is part of the NEFT work?

    Ans: The information about all NEFT-enabled banks is available on the Reserve Bank of India (RBI) website.

  5. How long does it take for NEFT transactions to be settled?

    Ans: All fund transfer transactions will be processed in a batch-wise format and the money will be credited within 2 working days.

Other IFSC Related Article

NEFT Timing Digital Wallet Mobile Wallet

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News About National Electronic Funds Transfer (NEFT)

  • NEFT Services Likely to be Extended on March 31

    The popular electronic money transfer method - the National Electronic Fund Transfer System (NEFT) - can be used to send money till midnight on March 31, 2018. The payment system is available through all NEFT-enabled banks in the country.

    While NEFT services are usually not available beyond the working hours of the bank, the money transfer system will be made available because Saturday (March 31, 2018) is the last working day of the financial year ending 2017 - 2018. Since all government payments which also includes tax related payments, will be accepted by banks, the Reserve Bank of India (RBI), has asked all banks to remain open for longer. The RBI has issued instructions asking all banks that accept government payments to be open till 8.00 p.m. on Saturday.

    For people who are yet to file to tax returns, it can still be done before March 31. However, it is important to note that there are two bank holidays that come this month, which is on March 29 and March 30 for Mahaveer Jayanti and Good Friday respectively.

    Meanwhile, all Ayakar Seva Kendras (ASKs) and Income Tax offices will be open on the bank holidays that fall on March 29 and 30 this year in order to help people file taxes.

    29 March 2018

  • Many Banks Slash NEFT, RTGS Charges

    In a recent move, many banks in the country have cut down net banking charges applicable for NEFT and RTGS.

    This movie has been implemented in an effort to encourage more and more people to adopt digital payment methods. At present, all transactions through UPI can be made free of cost, and there is no need to provide account details or IFSC code to send or receive money through UPI. If customers use net banking, these charges have been waived in most cases.

    30 January 2018

  • No Transaction Fee for NEFT, RTGS in HDFC Bank

    All online fund transfers initiated through NEFT and RTGS can be made free of cost in HDFC Bank. This move has been implemented from November 1, 2017.

    THe main objective behind this decision is to encourage more and more digital banking transactions in the country.

    Before this move was implemented, the charges levied for RTGS transactions were Rs.25 per fund transfer between Rs. 2 to Rs.5 lakh. For NEFT, the charges were Rs. 15 per transfer from Rs. 1 lakh to Rs.2 lakh and Rs.2.5 for fund transfers that range from Rs.10,000 to Rs.1 lakh.

    10 November 2017

  • Digitization: Currency Printing may Reduce

    The number of currency notes printed may decline in the next two years due to digitization, according to Union Minister Nitin Gadkari.

    The minister said that there has been a rise in the number of cashless transactions in 2017. To put it in numbers, there has been a rise by 58%. In 2016, the total number of NEFT transactions were 120 crore, while in 2017 these numbers inclined to 160 crore. The total number of debit card transactions that were carried out in 2017 amounted to 240 crore. There has also been a rise in the number of credit card and NEFT transactions.

    9 November 2017

  • Debit Card Usage Goes Down; Digital Transactions Up

    There has been a rise in the number of digital payments made by bank customers after demonetization and a reduction in the use of debit cards, according to a well reputed investment banking firm.

    The National Electronic Fund Transfer (NEFT) system has seen exponential growth and has risen by about 30%. NEFT transaction size has improved by 10%. The overall growth in NEFT transactions is 40%. Apart from this there has also been an increase in RuPay usage. Simultaneously, there has also been a growth in the number of IMPS transactions. Both in terms of volume and value, the number of debit card transactions have gone down. UPI and BHIM app has also seen a growth.

    6 October 2017

  • Surge in Digital Transactions Post Demonetization

    There has been a surge in the number of digital transactions in the country and a fall in debit card usage, according to a well known investment banking firm. This trend has been recorded post demonetization.

    The number of National Electronic Funds Transfer (NEFT) and Immediate Payment Service (IMPS) transactions have gone up since demonetization. To initiate fund transfers through NEFT and IMPS one has to provide IFSC code, account number and other payee details. Apart from this, RuPay has been seeing a very fast adoption rate.

    NEFT transactions have seen a growth of 30% and there has also been an increase in per-transaction size by about 10%. The overall growth in the number of NEFT payments is around 40%.

    IMPS transactions have seen a growth rate of 100% plus. IMPS provides the customer the convenience of transacting on a 24/7 basis and 365 days in a year.

    UPI and BHIM app transactions have also seen a steady rise.

    28 September 2017

  • 88% loan disbursal by MFIs through NEFT/IMPS

    It has come to light that more than 60% of Microfinance Institutions (MFI) in India are disbursing loans using various cashless methods. This has been adopted to push up operational efficiency in the system.

    In fact, during fiscal 2017, out the 60% of MFIs that disbursed loans through cashless methods, over 88% of MFIs in India disbursed loans through modes such as National Electronic Fund Transfer and Immediate Payment Service (IMPS).

    However, in the 4th quarter of 2017, only as much as 39% of loans were disbursed through cashless means. This data was published by the Microfinance Institutions Network (MFIN).

    According to the report, going cashless is in an effort to mitigate risk, hike operational efficiency, improve cash management systems, promote safety and productivity.

    Infact, demonetization and the various government measures have led to the rise in digital transactions in the country. This has also helped MFIs adopt cashless modes of transactions. People from rural India are also adopting these practises in a steady manner, according to experts.

    Some of the popular cashless transaction methods used include mobile wallets, prepaid cards, and Aadhaar-enabled payments, among other modes. The adoption rate has been increasing at a fast pace, according to reports.

    1 September 2017

  • RBI reduces the clearance time for NEFT

    In a bid to make the digital transactions more efficient, the Reserve Bank of India has taken the initiative to cut down the time involved in National Electronic Funds Transfer (NEFT) transactions. Currently, NEFT transactions are carried out on an hourly basis, RBI plans to reduce it to half-hourly basis. This initiative will make electronic payments more efficient while offering convenience to the customer. By making NEFT faster, it is expected to see a rise in the number of people using NEFT over other modes of transactions. With NEFT settlement cycle reducing from hourly batches to half-hourly batches, the government is a step closer to making India a cashless economy. The government has also offered various other platforms for carrying out payments and transactions since demonetization of scrapped Rs.1,000 and Rs.500 notes. The digital wallets, UPI apps, Aadhaar-Enabled Payment System, and other initiatives are already in progress to offer superior electronic payment services.

    7 April 2017

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