New rules for salary, pension, EMI payment applicable from August 1! Check how THIS RBI latest rule will benefit you

New Delhi: Reserve Bank of India (RBI) had in June introduced that National Automated Clearing House (NACH) will be out there on all days of the week, efficient August 1, 2021.

What is National Automated Clearing House (NACH)?

NACH is a bulk payment system operated by the NPCI. It facilitates one-to-many credit score transfers reminiscent of payment of dividend, curiosity, wage, pension, and so on., as additionally assortment of funds pertaining to electrical energy, fuel, phone, water, periodic instalments in the direction of loans, investments in mutual funds, insurance coverage premium, and so on. 

“NACH has emerged as a popular and prominent mode of direct benefit transfer (DBT) to large number of beneficiaries. This has helped transfer of government subsidies during the present COVID-19 in a timely and transparent manner. In order to further enhance customer convenience, and to leverage the 24×7 availability of 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,” stated RBI.

The Central Bank adde that the related directions/circulars for all these measures will be issued individually.