RBI Discussion Paper on Charges
in Payment Systems - Sample feedback for RTGS Questions
The
window to provide feedback to Reserve Bank of India for its ‘Discussion Paper
on Charges in Payment Systems’, has started.
The
last date to provide feedback is 3rd October 2022.
Today’s
blog talks about Sample feedback for RTGS Questions.
There
are 3 specific questions regarding RTGS.
Para No 8.2 Real Time Gross
Settlement (RTGS) System
Page No 8 and 9
8.2.6. Questions for Feedback
i.(S1) Should RBI review the policy of not levying
charges on members for RTGS transactions?
Sample Feedback __ i.(S1)
Yes, RBI should review the policy
of not levying charges on members for RTGS transactions.
Option 1 – Fixed – EX: INR 3/-
per customer outward transaction
Option 2 – Variable – Ex INR 4/-
per customer outward transaction up to 25,000/- customer outward transactions
per day
INR 2/- per customer outward
transaction above 25,000 and up to 50,000/- customer outward transactions per
day
INR 1/- per customer outward
transaction above 50,000 and up to 75,000/- customer outward transactions per
day
Nil for transactions above 75,000
transactions per day
As all banks may not high RTGS
outward customer transactions, Banks can choose between Option 1 and Option 2
ii.(S2) Should the time-variable charges be re-introduced?
Sample Feedback __ ii.(S2)
Yes, the time-variable charges
should be re-introduced but in a reverse method
EG: All Days
12:01 to 13:00 Hours - INR 20/- per
transaction credited to customer
13:01 to 18:00 Hours - INR 10/- per
transaction credited to customer
18:01 to 23:59 Hours - Nil
The exceptions not exceeding 5 may
be approved by the respective Bank’s Board.
iii.(S3) For RTGS transactions, should RBI prescribe the
charges that can be levied on
customers by members, or should
they be market driven?
Sample Feedback __ iii.(S3) A) RBI
should prescribe the charges that can be levied on customers by members. There
can be a maximum gap with an auto-increase of the same say by 5% with rounding
off to the next rupee
EG: Year 1 – INR25/-
Year 2 – Increase of 5% 25 + 1.25
= 26/-
Year 3 – Increase of 5% 26 + 1.30
= 27/-
And so on,
B) The credit window for Inward
customers transactions may be reduced to 15 minutes from the present 30 minutes,
with minimum exceptions. The exceptions not exceeding 5 may be approved by the
respective Bank’s Board.
C) The maximum transmission time
for outward customer transactions from the debit moment, may be introduced. If
this transmission time is crossed, banks may be required to compensate the
customers. The exceptions not exceeding 5 may be approved by the respective Bank’s
Board.
EG: Customers Account, by whatever
mode is debited at 11.30am on 17/08/2022. The beneficiary should receive the
funds with 13.30pm on 17/08/2022. The window between the actual debit and the
actual credit may be finalised by mutual consent of all RTGS participants.
D) As on today, in case, it is
not possible to credit the funds to the beneficiary’s account for any reason
e.g. account does not exist, account frozen, etc., funds shall be returned to
the originating member within one hour of receipt of the payment at the Member
Interface of the recipient member, subject to availability of RTGS.
The 'One Hour' window may reduced
to '30 Minutes'
E) The minimum amount for RTGS
Customer Transactions may be increased from the present INR2lacs to
INR2.50lacs, with auto increase of say INR25,000/- every calendar year
Additional Reading
RBI seeks responses to its 40 Questions - Discussion Paper on
Charges in Payment Systems @ https://prashantnepayments.blogspot.com/2022/08/rbi-seeks-responses-to-its-40-questions.html
RBI FAQs on RTGS @ https://m.rbi.org.in/scripts/FAQView.aspx?Id=65
Time-varying charges for transactions in RTGS @ https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=11564&Mode=0
Disclaimer: These are my personal
views only. The bottom line is Safe ePayments. Nothing More – Nothing Less.
As of now this is only sample
feedback. The actual feedback will be provided to Reserve Bank of India via
email.
