What changed
RBI enclosed three DPSS circulars to RRBs detailing the charge framework for electronic payment products, outstation cheque collection, and transfer of surplus clearing funds. The charges for electronic products (RTGS/NEFT/ECS) were prescribed in the October 8, 2008 circular and are also applicable for transfer of surplus clearing funds under the Remittance Facilities Scheme (RFS) 2007.
What it means for you
RRBs must take the enclosed circulars for information and necessary action, meaning they should implement the prescribed charge framework in their operations. This standardisation ensures uniform pricing across banks for these services, impacting fee structures and customer costs.
What you must do
- Review the enclosed DPSS circulars to understand the prescribed charge framework for RTGS/NEFT/ECS and outstation cheque collection.
- Update your bank's service charge schedule for electronic payment products and transfer of surplus clearing funds to comply with the framework.
- Ensure that charges for inter-bank electronic transfers, including transfer of surplus clearing funds under RFS 2007, are applied as per the October 8, 2008 circular.
- Communicate the revised charges to relevant departments and branches for implementation.
Who it affects
Regional Rural Banks (RRBs), Branches handling outstation cheque collection and transfer of surplus clearing funds
Which circulars are referenced in this notification?
The notification references DPSS circulars dated January 8, 2008, June 20, 2008, and October 8, 2008, which prescribe the charge framework for electronic payment products, outstation cheque collection, and transfer of surplus clearing funds.
Do these charges apply to transfers under the Remittance Facilities Scheme (RFS) 2007?
Yes, the circular clarifies that the charges for electronic payment products are applicable for transfer of surplus clearing funds under the Remittance Facilities Scheme (RFS) 2007.
What should RRBs do with the enclosed circulars?
RRBs must take the enclosed circulars for information and necessary action, meaning they should implement the prescribed charge framework in their operations.