RTGS
Business & Finance abbreviation · Banking
| Stands for | Real-time gross settlement |
|---|---|
| Categories | Business & Finance |
RTGS stands for Real-time gross settlement, a banking abbreviation.
Funds transfer system in which large-value payments between banks are settled individually and immediately in central bank money, making them final and irrevocable. Nearly every country's central bank operates an RTGS system.
Example: The property purchase price was sent via RTGS, so the seller's bank received it within minutes.
Usage notes
Examples include Fedwire in the United States, the Bank of England's RTGS service behind CHAPS, the eurozone's T2 and India's RTGS run by the Reserve Bank of India. "Gross" means each payment settles separately, unlike net settlement systems that offset payments at intervals. Indian customers use RTGS for transfers of ₹2 lakh or more.
Related abbreviations
More banking abbreviations
- PAN – Primary account number
- PEP – Politically exposed person
- PIN – Personal identification number
- PSD2 – Second Payment Services Directive
- RD – Recurring deposit
- RDC – Remote deposit capture
- RTN – Routing transit number
- RTP – Real-Time Payments
- RWA – Risk-weighted assets
- S&L – Savings and loan association
- SAR – Suspicious activity report
- SBLC – Standby letter of credit