RTGS is a system through which electronic instructions can be given by banks to transfer funds from their account to the account of another bank. The RTGS system is maintained and operated by the RBI and provides a means of efficient and faster funds transfer among banks facilitating their financial operations. As the name suggests, funds transfer between banks takes place on a ‘real time’ basis. Therefore, money can reach the beneficiary instantaneously and the beneficiary’s bank has the responsibility to credit the beneficiary’s account within two hours.
Recurring
Billing In recurring billing the credit card holder authorizes a merchant or vendor to charge his credit card on a regular basis. 212 Reference A person who can vouch for your reliability, employment history 22 or other factor needed to determine your creditworthiness/ employability.
Refinancing
Repayment of existing loan by a fresh loan, usually on better terms and conditions. In case of loans secured through mortgage of property etc., the same asset is taken over as security. Banks also refinance their loans to certain category of borrowers through specified refining agencies which provide refinance with matching repayment schedule.
Repayment
The process of returning of the borrowed loan amount. The repayment has to be made for the entire tenure of the loan amount. Based on fixed or floating interest rates on the loan amount, the banks or financial institution decides on an EMI which has to be paid on or before a date mentioned in the loan agreement every month.
Repayment Holiday / Moratorium period
A specified period of time during which recovery of loan remains suspended under a mutual agreement between the lender and the borrower. Interest continues to be charged on the loan during this period.
Repayment Mode
It refers to the payment instruction given by the customer for the repayment of the loan dues. Cash, cheque, ECS and other electronic channels are the primary payment modes.
Repayment Schedule (amortization schedule)
The repayment schedule provides the details of the interest and principal components of the EMIs payable by the customer on a monthly basis.
Repo Rate
Repo Rate is the interest rate for secured overnight or short term financing involving the sale and repurchase of securities. It is basically the rate at which RBI lends to commercials banks for meeting the short term deficits. RBI varies Repo rate from time to time to achieve its monetary policy objectives.
Rests
Rests refers to the length of time between the dates on which the interest (on loans and deposits) is compounded. Eg: monthely, quarterly, half-yearly, yearly.
Returned Cheque
When you do not have enough available funds in your account (including any overdraft protection transfer from another account) to cover a cheque, the bank may decide not to pay the cheque and to return it to the payee. A returned item fee may be charged to your account.
Revalidation
Duly authenticated extension of the validity period for negotiation/payment of cheque/draft or a negotiable instrument.
Reverse Mortgage
A financial product, which provides senior citizens with funds against their home equity. Senior citizens can get a regular amount monthly, quarterly or as a lump sum. They can live in their homes for their lifetime and after that banks can recover the amount by selling the property or if the heirs of the property want they can claim it by repaying the dues to the bank.
Revolving Credit
A credit agreement that allows consumers to pay all or part of the outstanding balance on a loan or credit card. As credit is paid off, it becomes available again to use for another purchase or cash advance.
Reward Points (Cards)
A loyalty scheme that supplies benefits based upon the card's usage. Benefits are usually in the form of points that can be redeemed for gift vouchers, gift items or services, such as airline tickets, discounts on purchases or cash refunds. The credits accumulated toward these benefits are often a percentage of each purchase.
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