NEFT which stands for National Electronic Funds Transfer. It is a channel that can be used to transfer money from one bank account to another. No matter even if the account of the beneficiary is in another bank. You can still send him money right from your bank account. If you want to discover how this thing works offline and online then I will help you out with that.
Here I have mentioned online and offline.
But what do I really mean by mentioning that?
The thing is very simple you can use the channel of NEFT online as well as offline. I have mentioned more about the same below.
How the NEFT Works Offline?
If you want to initiate the NEFT money transfer offline, then you will have to visit the branch of your bank. Here you have to visit the branch of the bank where you hold the bank account.
You will find the NEFT Form at the branch collect one.
For example, let us assume that you hold a bank account with the ICICI Bank. Then you have to visit the branch of the bank and collect an ICICI Bank NEFT Form, this is also available on the website of the bank.
Fill in the details of the beneficiary account. Here you have to fill in multiple details of the beneficiary.
The details you have to fill are,
- Name of the Beneficiary.
- Bank Account Number of the Beneficiary. (twice)
- Bank Name where the beneficiary holds the account.
After this enter the amount of money you wish to transfer via NEFT, sign the NEFT form, and go to the counter to complete the money transfer.
It is easy to transfer money offline using NEFT, but the problem is you will have to visit the branch of your bank personally to complete the transfer. If you don’t want to go to the bank then you can use the NEFT online as well. also, check employee pc monitoring software
How the NEFT Works Online?
There are some requirements that you need to fulfill to use NEFT online. When I say online this includes both internet banking and mobile banking.
NEFT channel can be accessed using the mobile banking app as well.
But there are some requirements too.
If you want to use a desktop or laptop computer then you should have access to your internet banking account. This means that you should have activated the internet banking function for your bank account.
In the case of some banks, you will have to manually activate it. And in the other case, your internet banking will come preactivated with your bank account.
All you have to do is change the password(s) later on. This should be done to ensure that your password(s) are not leaked to anyone. The preset passwords are system or computer-generated which can be cracked by hackers.
Ok, so now you have got an activated internet banking account with you.
But is there any requirement that your bank should fulfill for you to complete the NEFT money transfer?
Yes, your bank should be part of the NEFT network of the Reserve Bank of India. You can check this by contacting your bank. And these days almost every big and small bank is part of the NEFT and RTGS network.
But I mentioned this thing because you should know about it.
You have to add the beneficiary account in your internet banking account. It will take time between 10 minutes to 2 hours. This time totally depends upon your bank.
Once the beneficiary is activated you can initiate the NEFT money transfer by entering the amount you wish to send to the beneficiary account. You should also note that while adding the beneficiary account in internet banking the system also asks you to set the maximum transfer limit.
And you can not transfer money amounting more than that limit. But there is no need to worry as you can also change the limit you have set for the beneficiary account later on.
Now everything is set, you will select the NEFT beneficiary account, enter the amount and click on the transfer button.
The bank will send you a One time password to your registered mobile number. Enter the OTP and your money will reach the beneficiary account.
The process remains the same in the case of mobile banking as well.
This is how the NEFT transfers work online.