Yes, you can transfer ₹20 lakhs (2 million INR) via NEFT, as the RBI has not imposed a maximum limit on NEFT transactions. However, individual banks often set their own daily or per-transaction limits for security reasons. For a transfer of this size, it is recommended to use net banking, and if needed, break the amount into smaller, multiple transactions.
Overview: NEFT enables secure fund transfers across India with no RBI-imposed limits, but individual banks set transaction caps ranging from ₹2 lakh to ₹1 crore. Understanding these limits helps you plan large payments, investments, and loan repayments effectively while avoiding transaction failures.
The cash deposit limit in savings accounts as per income tax is ₹10 Lakh during a financial year. All banks or financial institutions must declare large cash deposits according to Section 114B of the Income Tax Act, 1962.
If it is done online, both NEFT and RTGS are free. However, if the money is transferred offline by visiting the bank branch, NEFT is cheaper than RTGS. The charges for NEFT ranges from ₹2.5 to ₹25 per transaction, while the RTGS charges range from ₹2.5 to ₹50 per transaction.
RTGS transactions involve large amounts of cash, basically only funds above Rs 200,000 may be transferred using this system. For NEFT, any amount below Rs 200,000 may be transferred, and this system is generally for smaller value transactions involving smaller amounts of money.
Bank of India (BOI) NEFT Transaction Limits in 2025
Minimum transaction amount: ₹1. Maximum transaction amount: No upper limit. Maximum number of transactions per day: No limit. Maximum daily transaction limit: No cap on the total amount transferred per day.
To remit funds to the Inter Bank Payee through RTGS/NEFT select the 'Inter Bank Transfer' link in the 'Payments/Transfers' tab. Select the Transaction Type-RTGS or NEFT. The list of beneficiary accounts added is displayed. Enter the Amount and select the beneficiary to be credited from the list.
₹4 + GST is applicable for the NEFT amount of more than ₹10,000 to ₹1 lakh. ₹12 + GST for the NEFT above ₹1 lakh to ₹2 lakhs. ₹20 is charged for the NEFT amount of more than ₹2 lakhs.
Transfers can be made in multiples of Rs 2 lakh, up to the chosen TPT limit, with a maximum of ₹50 lakh. Security Measures: For security reasons, transfers to newly added beneficiaries are restricted to ₹50,000 in total, whether in full or in parts, during the first 24 hours after the beneficiary is added.
What is the limit for a Resident Individual for sending money to USA from India? According to the Liberalised Remittance Scheme (LRS) for money transfers overseas, there is an annual cap of US$250,000 or its equivalent on international fund transfers by any resident individual in a financial year.
Overview: RTGS transfers require a minimum of ₹2 lakh with no RBI maximum cap. Banks set daily limits between ₹25-50 lakh for individuals.
7. Is there any limit on funds / amount to be remitted through NEFT system? Ans: No, there is no limit imposed by the RBI for funds transfer through NEFT system.
Although there are several ways to transfer large sums of money between bank accounts, such as a check or ACH transfer, a wire transfer is often considered the best choice. It's a secure transaction for large transfers in the US and abroad — and you can initiate your payment at your regular banking provider.
No, NEFT is a domestic fund transfer system within India. For international transfers, you would need to use other mechanisms such as SWIFT transfers or international wire transfers.
The main disadvantage associated with NEFT is that it is a technical alternative for transferring of funds that customers might find difficult to navigate through initially. The funds are also exposed to the risks of cyber security threats.
The minimum transaction amount for RTGS is ₹2 lakh, making it suitable for large transfers like ₹20 lakh. The transfer is processed in real-time, ensuring that the funds are credited to the beneficiary's account within minutes.
The charges for IMPS transactions may vary among different banks. NEFT is considered reliable and secure for fund transfers. RTGS is considered reliable and secure for fund transfers.
Implications of Section 269ST
For real estate buyers and sellers, this means property transactions must flow through banking systems. Cash payments for property purchases are effectively prohibited since they typically exceed Rs. 2 lakh.
Section 194N mandates TDS on cash withdrawals exceeding Rs. 1 crore in a financial year from a bank or post office account. Banks or post offices deduct 2% TDS on amounts exceeding this threshold to encourage digital transactions and monitor high-value cash flows.