One of the most popular methods for transferring money from one location to another is using the simple and very common method of what is known as “money transfer”. By using this method, the bank account of the receiver is frozen at the beginning of the transfer. To be able to receive the money that has been deposited in his or her account, the receiver has to enter a different code into his or her account. The codes are known as the transfer instructions.
How much does a money transfer cost? A money transfer in Europe is quite easy and affordable, especially if you don’t mind doing it yourself.
What is RTGS? RTGS stands for Real Time Gross Settlement. It is a very simple and inexpensive way to send and receive money from anywhere in the world.
A lot of people wonder how RTSG works. To be able to explain it, we have to go back in time and start from where we are right now.
Ever since the Second World War, German companies were regulated by the German Federal Trade Commission. This is known as the “Meinungsverbot” (German for “my rule”). If you’ve ever had to fill out paperwork for an online purchase from a website in Germany, you’ve probably seen this clause. If you’ve ever been on a bank line of credit in Germany, you’ve probably seen this one too. That’s because all transactions in Germany, including electronic money transfers, must go through this giant block.
RTGS, then, is the correct term to use in reference to these regulations. Of course, we’ll take it one step further and make it more technical. We’ll call it RTSG. It stands for Real Time Gross Settlement.
Imagine you are sending an electronic payment to a recipient in Germany. In the middle of the transaction, you need to enter a small code on your computer screen. In other words, you’re sending a payment with the help of a code.
This is how the banking industry in Germany functions. Your bank will send the payment to the recipient by way of RTGS, or, as it is known in most countries, using the code.
However, if you happen to live in Germany and don’t have a bank account, you can still send an electronic payment to someone with an account there. This is known as a “collect” transaction. Anytime a bank allows electronic payments between two people, they are considered to be members of the European Payment Service Association.
You can use RTGS to send money to your friends, family, business partners, or even to complete the purchase of some computer hardware and software. This is just one of the many ways that money transfers work. While we were talking about RTGS, though, let’s consider a few other aspects of this concept.
RTGS means that you don’t have to leave your house to make a purchase, but it may take a little bit longer to accomplish. However, it doesn’t matter because the outcome is that of a much smoother transfer.