RBI extends Time-Window for using RTGS Service
- The Reserve Bank of India (RBI) announced that the time-window for using the Real Time Gross Settlement System (RTGS) for customer transactions will be extended from 4:30 pm to 6 pm on all working days.
- It will be effective from June 1, 2019.
- There shall be no charge for transactions between 8 am and 11 am.
- The decision is after a robust year-on-year increase in the number of transactions by 8% to Rs.1,335 crore in March 2019.
- RTGS is an electronic form of funds transfer where the transmission takes place on a real-time basis.
- The beneficiary account receives the funds transferred, on a real-time basis.
Committee for Housing Finance Constituted by RBI
- The Reserve Bank of India (RBI) constituted a committee to review the existing state of mortgage securitisation in India and suggest measures to deepen it.
- The six-member committee on Development of Housing Finance Securitisation Market is headed by Harsh Vardhan, Senior Advisor, Bain & Co.
- The panel will review the regulations relating to mortgage-backed securitisation (MBS) currently in place, and make specific recommendations on suitably aligning the same with international norms.
- Mortgage-Backed security (MBS) is a type of asset-backed security that is secured by a mortgage or collection of mortgages.
- Data from rating company ICRA showed that the securitisation volume in FY19 more than doubled as against FY18 to Rs.2 lakh crore, of which major chunk of loans sold was by housing finance companies (HFCs) to banks in order to raise funds owing to tough liquidity conditions.
Banks to Accept Aadhaar only for KYC
- Reserve Bank of India (RBl) permitted banks to accept Aadhaar number only for 'Know Your Customer' (KYC) verification of customers with DBT accounts with their consent.
- RBI has added the 'Proof of possession of Aadhaar number' to the list of Officially Valid Documents (OVD).
- The bank should obtain the Aadhaar number from the customers who receive any benefit or subsidy under Direct Benefit Transfer (DBT).
- For Non-DBT beneficiary customers, the Regulated Entities (REs) should obtain a certified copy of any OVD describing the details of customer's identity and address along with 1 recent photograph.
- All the non-individual customers should submit Permanent Account Number(PAN)/Form No 60 (for companies and Partnership firms - only PAN) along with other documents.
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