What changed
RBI revised the maximum customer charges for NEFT transactions, replacing earlier caps from November 2010. The new slab-based structure sets lower maximum fees per value band, effective August 1, 2012.
What it means for you
Banks can no longer charge more than the prescribed maximums, which are lower than many were levying. This encourages electronic payments over paper instruments and supports financial inclusion by making remittances cheaper.
What you must do
- Update NEFT fee schedules to comply with new maximum charges by August 1, 2012.
- Communicate revised charges to customers and promote NEFT usage.
- Ensure system changes reflect the slab-based caps accurately.
- Acknowledge receipt of the circular and confirm compliance to RBI.
Who it affects
All banks participating in NEFT, NEFT customers (retail and corporate), Payment system operators
What are the new maximum NEFT charges per slab?
Up to ₹10,000: ₹2.50; ₹10,001–₹1 lakh: ₹5; above ₹1 lakh up to ₹2 lakh: ₹15; above ₹2 lakh: ₹25. These are exclusive of service tax.
When do these charges take effect?
The revised charges are effective from August 1, 2012.
Can banks charge less than the maximum?
Yes, the circular states these are the maximum charges banks may levy; they can choose to charge less.