What is the full form of RTGS?
The full form of RGTS is Real-Time Gross Settlement. Here settlement means the settlement of funds or we can say the transfer of funds from one bank to another these are basically fund transfer systems that work in “real time” and on “a “Gross” basis. Gross means that transactions are not netted or grouped together with others, ensuring that each transaction is done alone reduces the risk.
Also Read: RTGS: Full Form, Limits and Charges
RTGS Full Form – Real-Time Gross Settlement
RTGS Full Form: RTGS (Real-Time Gross Settlement) is a system used by banks to transfer money or securities from one bank to another on a “real-time” and on a “gross” basis. This means the transactions are completed instantly, without waiting for any batching process, and the settlement of funds is done individually on an order by order basis. It plays an important role in contemporary financial systems by facilitating high-value, interbank transactions efficiently and securely.
In this article, we have provided the RTGS full form, is history, characteristics, features, advantages and drawbacks.