Real-Time Gross Settlement (RTGS) is an electronic form of funds transfer where the transmission takes place on a real-time basis. It is a payment system provided by banks that enables the instant and complete electronic settlement of funds from one bank to another and from one place to another. Here are some key features of RTGS:

• RTGS is a funds transfer system that allows for the instantaneous transfer of money and/or securities.
• RTGS is generally employed for large-value interbank funds transfers.
• RTGS is primarily designed for large-value and high-priority transactions.
• RTGS is a one-to-one basis payment system, meaning that transactions are settled at the same time when they take place, and there is no waiting period.
• RTGS does not follow any specific processing method, unlike NEFT; hence, the funds are settled in real-time, without any delay.
• RTGS is generally used for wholesale, or high-value interbank electronic funds transfers, often referred to as High-Value Payments Systems (HVPS) or Large Value Payments Systems (LVPS).
• RTGS systems are typically run by the central bank of a country.

To initiate an RTGS transaction, the customer has to have the Indian Financial System Code (IFSC) of the beneficiarys bank, along with the name of the beneficiary, account number, and name of the bank. The bank branches, both at the initiating and receiving end, have to be RTGS-enabled for the transaction to be processed. Customers with internet banking accounts can do RTGS transactions on their own. RTGS is preferred by many users due to its safety, security, and real-time transfer of funds.