PROJECT REPORT
“Cash Management and Fund transfers in Banks with the IT logistics”
Table of Contents
Chapter 1 2
1.0 Introduction 2
Chapter 2 3
2.0 Objectives, Scope and Methodology 3
2.1 Objectives 3
2.2 Scope 3
2.3 Methodology 4
Chapter 3 5
3.0 BANKING WITH TECHNOLOGY 5
Chapter 4 9
4.0 Different aspects of IT based funds transfer in banks 9
4.1 Electronic Funds Transfer: 9
4.2 National Electronic Fund Transfer (NEFT) 11
4.3 Real Time Gross Settlement (RTGS) 12
4.4 Cheque Truncation System (CTS) 14
4.5 Core banking systems (CBS) 14
Chapter 5 15
5.0 Conclusion 15
6.0 Reference 16
Chapter 1
1.0 Introduction
Payment and settlement systems constitute the backbone of any economy. In India, payment systems are characterised by the presence of a large number of paper based transactions, with cheques constituting more than 80%in terms of volume. Recent initiatives by the Reserve Bank - in the form of providing for electronic payment systems and the Real Time Gross Settlement (RTGS) System - have provided a sound foundation for the migration of more safe, secure and efficient payment systems. While these systems have been registering growth rates which are encouraging, the potential to migrate from paper based cheques to other electronic means of funds movement is high.
Payment systems in India have a chequered history with the earliest system being coin based which dates back to many centuries. Paper based systems entered the fray with the loan deeds (or hundis as commonly referred to), which were complemented in the eighteenth century by paper based currency. With banking becoming a dominant economic faci ...