RTGS – Real Time Gross Settlement
Real Time Gross Settlement allow individuals, companies and firms to transfer funds from one account to another over the internet. RTGS does not require core banking to be implemented across participating banks, since transactions are direct.
Below is a listing of countries and their RTGS systems with a different name :-
- United Kingdom – CHAPS (Clearing House Automated Payment System)
- Japan – BOJ-NET (Bank of Japan Financial Network System)
- Hong Kong – Clearing House Automated Transfer System (CHATS)
- Australia – RITS (Reserve Bank Information and Transfer System)
- United States – Fedwire
RTGS is the fastest possible money transfer system since the money is transferred on a real time and gross basis. Real time means the transactions are settled as soon as they are processed. Gross settlement means the transaction is settled on one to one basis.