Tuesday , June 15 2021

NACH to be available on all days from August 1: RBI

NACH facilitates one-to-many credit transfers such as
Image Source : PTI/ FILE

NACH facilitates one-to-many credit transfers such as payment of dividend, interest, salary and pension

Reserve Bank of India (RBI) Friday said National Automated Clearing House (NACH) will be available on all days of the week, effective August 1, 2021. NACH, a bulk payment system operated by the National Payments Corporation of India (NPCI) facilitates one-to-many credit transfers such as payment of dividend, interest, salary and pension. It also facilitates collection of payments pertaining to electricity, gas, telephone, water, periodic instalments towards loans, investments in mutual funds and insurance premium.

“In order to further enhance customer convenience, and to leverage the 24×7 availability of real-time gross settlement (RTGS), NACH which is currently available on bank working days, is proposed to be made available on all days of the week effective from August 1, 2021,” RBI Governor Shaktikanta Das said while announcing the bi-monthly monetary policy review.

NACH has emerged as a popular and prominent mode of direct benefit transfer (DBT) to a large number of beneficiaries. This has helped transfer of government subsidies during the present COVID-19 in a timely and transparent manner, RBI said.

Latest Business News

Check Also

Coal India dividend 2021: State-owned miner announces 35 per cent dividend per equity share

Image Source : HTTPS://WWW.COALINDIA.IN/ Coal India to pay Rs 3.50 final dividend  Coal India Dividend, Coal ...