Learn more about the National Electronic Fund Transfer Service from TMB (TMB e-

Transfer).

The NEFT (National Electronic Fund Transfer) Service helps in the seamless transfer of
funds from one branch to another without any delays or procedural hassles. Like RTGS,
RBI has introduced another type of funds transfer system called NEFT (National
Electronic Funds Transfer). The operations and functions of the system are similar to
RTGS. We have become active member of NEFT system and we propose to introduce a
new product called TMB e-Transfer (NEFT).

This facility can be availed only by account holders of our bank since both the
beneficiary as well as applicant account number (TMB account number) should be
compulsorily mentioned in the NEFT application form.

In RTGS, Settlement will take place continuously between 9.00 A.M and 2.00 P.M and
the return time allowed is up to two hours from the time of the receipt of the payment.
However, in NEFT, there are four clearing settlement batches (9.30,10.30,12.00, & 4.00)
and the return time allowed is 24 hours. The messages received by RBI within each
settlement batch time will be consolidated and distributed to payee's banks after
settlement. Normally, payment message reaches receiving (payee's) bank within 15 to 30
minutes from the batch time. For e.g. message sent to RBI for the 12.00 clock settlement
batch, will reach receiving bank by 12.30 P.M. If the receiving bank has STP (Straight
Through process) facility, the amount will be credited immediately, or otherwise, the
amount may be credited within the end of the day. However, if the receiving bank wants
to return the message, they should return within 12.00 Noon batch of next settlement day
(Within 24 hours).

RBI has introduced NEFT system mainly to send small value payments at nominal cost.
We can send funds from our bank to other bank-branches, which have IFS Code, and
joined in NEFT network. So far, 42 banks have joined in this system and more than
10000 of their branches are under this network. More bank-branches are expected to join
in the days to come.
In order to encourage small value payments through NEFT, we have fixed nominal
charges only. Commission for Outward Payment is Rs. 5/- flat for amounts less than Rs.
1,00,000.00 and Rs. 25/- flat for transactions for Rs. 1,00,000.00. There is no minimum
transfer amount limit. However, only upto Rs. 1,00,000.00 can be transferred per
transaction. There is no inward payment charges under NEFT.

Our customers are adviced to instruct their counterpart to quote correctly the full 15-digit
account number for inward payment to identify the branch and credit their account
immediately. If the message received is without 15-digit account number it will be
rejected and returned automatically.

NEFT is the most suitable mode of payment for small value payments as the charges are
cheaper and settlements are faster when compared with other modes of payment.

Customer Facilitation Service:

In order to resolve the complaints received from customers, we are having our Customer
Facilitation Center at the following address:

The Senior Manager, RTGS/NEFT Cell

Tamilnad Mercantile Bank Ltd