RTGS is an abbreviation for 'Real Time Gross Settlement'. RTGS can be defined as specialist funds transfer system to transfer the money from one bank to another on continuous (real-time) and gross settlement basis.
UPI (Unified Payments Interface) is a payment system launched by National Payments Corporation of India. Using UPI, customer can pay directly from a bank account to different merchants, both online and offline, without the hassle of typing credit card details, IFSC code, or net banking/wallet passwords.
There are many differences between RTGS and UPI as listed in the following table which would help you choosing between the two:
| Basis of Difference | RTGS (Real Time Gross Settlement) | UPI (Unified Payment Interface) | |
|---|---|---|---|
| Definition | The system of electronically transfer of funds from one bank or bank branch to another bank or bank branch where the fund trasfer takes place on a real time basis | Vs | The system of instant fund transfer between two bank accounts on the mobile platform |
| Fund Transfer Limit (Rs.) | 2 Lakh and above | Vs | 1 Lakh per day |
| Required Device | Internet, Website & Application | Vs | Internet & Smartphone |
| Information Required | Account Number & IFS Code | Vs | VPA of recipient & MPIN |
| Fund Transfer Time | Real time, usually within 30 minutes | Vs | Instant |
| Fund Transfer to abroad | Yes | Vs | No |
| Beneficiary Registration Required | Yes | Vs | No |
| 24 X 7 Money Transfer | Yes | Vs | Yes |
| Cost of Fund Transfer | Rs. 30 to Rs. 55 plus taxes | Vs | Free |
| Alert sent after money collection | No | Vs | Yes |
| Payment gateway involvement | Yes | Vs | No |
| Banks offering payment method | Almost all banks in India | Vs | 21 Banks |
| E-Commerce transactions | Yes, possible | Vs | Not possible |