RBI directs RTGS participants to use correct transaction code

The Reserve Bank today directed the entities using the Real-Time Gross Settlement (RTGS) payment system to use the correct transaction code so as to avoid unintended consequences.
RBI said some of the RTGS participants were using the transaction code alloted to customers for settling their own account transfers.
"It has been brought to our notice that some of the RTGS participants are initiating Own Account Transfers (OAT) from RTGS settlement account to their current account maintained with RBI using the customer transaction code, using the TTC value '1000' allotted for customer transactions instead of '1800' allotted for OAT.
"The usage of wrong TTC value for transaction in RTGS leads to unintended consequences," RBI said in a notification.

RBI said all RTGS participants should strictly adhere to the RTGS System Regulations and use the appropriate TTC (Transaction Type Code) value to originate RTGS transactions.
RTGS payment system involves processing of instructions at the time they are received rather than at some later time.
The system is meant for large value transactions and a minimum of Rs 2 lakh can be remitted through this system. There is no upper ceiling for RTGS transactions.