Q. Consider the following statements:
1.Real Time Gross Settlement (RTGS) system does not operate on weekends.
2.National Electronic Funds Transfer (NEFT) is suitable for both small and large value transactions.
3.Under Immediate Payment Service (IMPS), a minimum transaction amount is ₹2 lakhs.
How many of the statements given above are correct?
Answer: A
Notes:
Explanation –
Statement 2 is correct. NEFT is suitable for both small and large-value transactions. NEFT allows individuals to transfer any amount to the recipient’s account in a one-on-one transfer basis without a maximum limit for funds that can be transferred in a single day.
Statements 1 and 3 are incorrect. The Real Time Gross Settlement (RTGS) system is available 24 hours a day, 7 days a week, including weekends and bank holidays. Immediate Payment Service allows for both peer-to-peer transfers and merchant payments. IMPS is available 24/7 throughout the year, including bank holidays, and enables real-time instant inter-bank funds transfer with no upper limit for transactions. The upper limit usually varies from bank to bank. There is also no lower limit or minimum transaction amount specified for IMPS.
Source: Forum IAS
