BANKING GENERAL KNOWLEDGE
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
The transactions take place in real time
|
|
|
The system operates on DNS (Deferred Net Settlement) basis
|
|
|
The minimum amount that can be remitted is Rs. 2 lakh
|
|
|
Service charges for RTGS transactions vary from one bank to another
|
Detailed explanation-1: -Detailed Solution. RTGS is not a 24x7 system.
Detailed explanation-2: -The term real-time gross settlement (RTGS) refers to a funds transfer system that allows for the instantaneous transfer of money and/or securities. RTGS is the continuous process of settling payments on an individual order basis without netting debits with credits across the books of a central bank.
Detailed explanation-3: -Ans. The acronym ‘RTGS’ stands for Real Time Gross Settlement, which can be explained as a system where there is continuous and real-time settlement of fund-transfers, individually on a transaction-by-transaction basis (without netting).
Detailed explanation-4: -The objective of RTGS systems by central banks throughout the world is to minimize risk in high-value electronic payment settlement systems. In an RTGS system, transactions are settled across accounts held at a central bank on a continuous gross basis. The settlement is immediate, final, and irrevocable.