Managing finances used to be done in a very different way before technology became the focal point of financial convenience. It can be hard to navigate the digital part of managing finances, such as net banking (online banking) and/or transferring money to different accounts. But, admittedly, it has made the process a bit more efficient, quicker, and secure. Money is being accepted digitally almost everywhere now—especially in India with net banking. Whether you’re sending money to a family member, paying for a service, or managing your investments, net banking is most definitely an efficient solution.
It can be that you may be unfamiliar with what it is or how it works or may want to understand the different ways you can transfer money through this platform; either way, these tips should definitely provide a helping hand.
What Is Net Banking?
Net banking, more simply known as online banking, is a service that is widely provided by banks. It allows for their customers to do financial transactions online, which allows the convenience of many aspects of life, such as accessing your account, transferring funds, checking balances, paying bills, etc., from any device (desktop, laptop, or smartphone) with an internet connection.
Even simply put it, everything you can do physically at a bank branch, you can do online at your own convenience.
Why Is Net Banking Important?
Well, convenience.
Many of us carry a lot of responsibilities on our shoulders, and banks, though often spread in many locations, can take up a lot of your time. Net banking allows you the convenience of having stress-free experiences with financial management by making it accessible and efficient. Here’s how net banking can help improve your day-to-day life:
- 24/7: Banks in all locations have their own timings, but net banking is accessible to you through your devices at any time you’d like—this is especially useful for urgent transfers and bill payments.
- Secure transactions: Banks provide encryption, multi-factor authentication, and advanced security protocols to make sure that your data and funds are always protected.
- Financial services: A lot of independent living involves financial management, and net banking helps you pay bills, transfer funds, view account statements, check credit scores, etc., so you’re always on top of it.
Types of Transfers You Can Make Using Net Banking
- Transfer money between your own accounts
If you have more than one account at the same bank, you can use net banking to transfer money between your own accounts. This is the best and easiest way of transferring money because it doesn’t require additional account details other than the account numbers linked to your own name. Please do remember that while these are the general steps, it can vary/differ depending on your bank and the banking app you use.
How to transfer funds between own accounts
- Log in to your net banking portal.
- Navigate to the “Fund Transfer” option.
- Select “Within Own Accounts.”
- Choose the account you want to transfer funds from and the account to which you want to transfer
- Enter the amount and submit the request.
- Transfer money to other accounts within the same bank
If you want to send money to someone who has an account with the same bank as you, it’s almost the same process as above. All you need is the receiver’s account number and branch details.
How to transfer funds to other accounts in the same bank
- Log in to your net banking account.
- Go to the “Fund Transfer” section and select “To Own/Other Accounts.”
- Enter the recipient’s account details, such as account number, branch code, and IFSC code.
- Enter the transfer amount and complete the process.
Transfer money to accounts in different banks (NEFT/RTGS/IMPS)
If you want to transfer money to someone with an account at another/different bank than yours, there are three ways you can do it using net banking: NEFT (National Electronic Funds Transfer), RTGS (Real-Time Gross Settlement), and IMPS (Immediate Payment Service).
- NEFT: The money will not immediately transfer but is processed in batches and can take a few hours to complete.
- RTGS: This is most commonly used for large transactions (generally over ₹2 lakh)—it is real-time and direct settlement of the transfer.
- IMPS: This is most commonly used for immediate transfer of money 24/7; it’s used for both small and large amounts and works even on holidays.
Steps for NEFT/RTGS/IMPS:
- Log in to your net banking account.
- Choose the “Fund Transfer” section and select either NEFT, RTGS, or IMPS, depending on the urgency and value of the transfer.
- Enter the recipient’s account details (account number, IFSC code, and name).
- Enter the amount you wish to transfer and verify the details.
- Complete the process and wait for the confirmation.
Bill payments and recharges
Recurring payments, such as your utilities, mobile bills, and DTH recharges, can easily be done through net banking.
How to perform bill payments and recurring recharges
- Log in to your net banking portal.
- Go to the “Bill Payments” section.
- Choose the biller (e.g., electricity, gas, phone, etc.).
- Enter your bill details (account number, amount due) and complete the payment process.
- International money transfers
International money transfers are a net banking feature, but you will generally need to use SWIFT or other international remittance services provided by your bank.
How do you transfer money internationally?
- Log in to your bank’s online banking portal.
- Select the “International Transfers” section.
- Enter the recipient’s details, including their bank’s SWIFT code.
- Specify the transfer amount, select the currency, and confirm the transaction.
Security Measures for Safe Net Banking Transactions
While online banking does provide a sense of comfort and security, it’s still important to always stay cautious because it can have potential risks. Here are some of the best practices to make sure that your transactions are secure:
- Strong passwords: Make sure the passwords you choose are strong, unique passwords that are hard to guess. Don’t use common combinations like your birthday and use a mix of letters, numbers, and special characters.
- Enable two-factor authentication: Almost all banks offer two-factor authentication (2FA), which is an extra layer of protection. It requires you to verify your identity through a secondary method (e.g., OTP sent to your registered phone number).
- Monitor your spending: Always check your account statements and transaction history for any unusual activity. If you notice something suspicious, report it to your bank immediately.
- Avoid public Wi-Fi: Don’t perform any banking transactions over unsecured public Wi-Fi networks. Always make sure to use a secure, private network whenever possible.
- Always log out: Log out from your net banking account once you’re done with your transactions to prevent unauthorized access on all your devices.
Net banking, as you can surely see around you, has become almost essential for everyday living—learning and understanding it will help you navigate it better. Remember, asking questions is never wrong; don’t hesitate to ask family, friends, or even bank customer service for help.
FAQs
Can I transfer money to an account that is not registered in my name?
Yes, you can—all you need is the account number and required details such as the bank’s branch name and the IFSC code. This applies to both intra-bank and inter-bank transfers.
How long does an NEFT transaction take to process?
Commonly it takes an NEFT transaction a few hours to complete; this is because it is done in batches. However, in the case of real-time settlement services like IMPS, the transaction is completed instantly.
Is there a limit for IMPS transfers?
The IMPS transfer limit can be different for different banks, but most banks have a limit of ₹2 lakh per day for IMPS transactions. Always advisable to check with your bank for the exact limit.
Are there any charges for using net banking?
Net banking is free for most basic functions, such as checking account balances, transferring funds between your own accounts, or paying bills. However, banks may charge a fee for certain transactions, especially for larger transfers (such as RTGS), international transfers, or IMPS payments.
What do I do if I forget my net banking password?
If you forget your password, you can reset it by using the “Forgot Password” option on your bank’s login page. The prompts will ask you to verify your identity, commonly through your registered mobile number or email.