Now you will be able to verify the name of the receiver i.e. the beneficiary account holder before making a transaction through Real Time Gross Settlement System (RTGS) and National Electronic Funds Transfer (NEFT). The Reserve Bank has today (30 December) announced the launch of the beneficiary account name look-up facility for transferring funds through RTGS and NEFT. The new rules will come into effect from April 1, 2025. Fund transfer to wrong account will be banned
RBI says that many times bank customers transfer money to the wrong account while transferring money online through RTGS and NEFT, but now with the name lookup facility, such mistakes made by bank customers will soon be reduced and fraud can also be curbed. UPI and IMPS have the facility of beneficiary verification
Governor Shaktikanta Das had announced the introduction of name lookup facility for transferring funds through RTGS and NEFT after the Monetary Policy Committee (MPC) meeting held in October this year. He had said that currently lookup facility is available in United Payment Interface (UPI) and Immediate Payment Service (IMPS). The name and details of the receiver are visible while making payment through the lookup facility. This eliminates the possibility of payment being made to the wrong person. But, this facility was not available in RTGS and NEFT systems. The service will be available on all types of online platforms
RBI has asked the National Payments Corporation of India to develop and implement the name verification service. After the system is ready, it will be made available in all those banks which have RTGS and NEFT services. This new service will be available to customers through different channels including internet banking and mobile banking platforms. Apart from this, customers visiting the branches of their respective banks to start the transaction will be able to verify the details of the receiver’s account before making the payment. Also read this news related to online payment 5 people can make payment from one UPI account: Government launched UPI Circle, it has a transaction limit of up to ? 15,000 in a month Now you can use the same UPI ID in more than one mobile. The government has launched a new feature ‘UPI Circle Delegated Payment Service’ in the UPI app. By activating this facility, you will be able to add one or more persons to your UPI app. All the added people will be able to make UPI payments from your bank account. Read full news
