Fund transfer is an activity that is often carried out by banking service users for daily transaction needs. In Indonesia, currently, there are several fund transfer mechanisms, including SKN and RTGS. Do you know what SKN and RTGS are, which have been fund transfer options for the community?
In this article, we will discuss what SKN and RTGS transfers are and what the differences are between the two. Read the article until the end.
What is SKN
The National Clearing System (SKN) is an electronic transfer mechanism where banks are connected to the SKN organized by Bank Indonesia (BI). In this system, the process of transferring books (settlement) from the sender's account to a specific recipient's account has a period of 2-3 working days.
The bank will forward the customer's transfer order to BI's SKN, and then the money is collected first. After that, BI will distribute the funds to the destination bank or recipient periodically within one day. After the destination bank receives it, then the money is distributed to the destination account.
Usually, SKN transfers are used for transfers with a value greater than online transfers with a maximum of IDR 500,000,000 per transaction or depending on each bank's policy.
What is RTGS
Real Time Gross Settlement (RTGS) is an electronic transfer system that connects banks through the RTGS system owned by Indonesian banks whose transaction processes can be carried out immediately (real-time). The real-time context in question does not mean arriving at the destination account at the same hour and minute, but instead, it takes several hours (around 4 hours) to complete the transfer process.
However, the RTGS transfer process also has a weakness; namely if the transfer is made after 15.00 WIB, the funds will only be transferred to the destination account the next day. Apart from that, if an inter-bank transfer is made at the end of the month, such as the 30th or 31st, there will be a delay of 1 day due to the book closing process.
Therefore, transfers using RTGS are suitable for those of you who want to make large nominal transfers because the nominal transfer is more expensive, around IDR 25,000 - IDR 50,000, with a minimum transfer of IDR 100 million per transaction.
Difference between SKN and RTGS
Even though they are both fund transfer services, SKN and RTGS have several differences. The following are the differences between SKN and RTGS.
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Transfer Duration
Regarding transfer duration, the SKN transfer process takes longer than RTGS. The SKN transfer process can take up to 2-3 days, while transfers using RTGS are processed faster in real-time in a matter of hours.
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Transfer fee
The second difference between SKN and RTGS is in terms of transfer fees. Transfer rates using SKN are relatively cheaper, around IDR 2,500, while transfer rates using RTGS are relatively more expensive, with fees reaching IDR 25,000 - IDR 50,000 per transaction.
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Transaction Limits
The last difference is the transaction limit. The transaction limit using RTGS transfers is greater than with SKN. The RTGS transfer nominal can reach more than IDR 1,000,000,000, while the SKN transaction limit ranges from IDR 10,000 – IDR 250,000,000.
That's a discussion about the differences between SKN and RTGS. You can also use SKN and RTGS transfer services via the MAS Mobile application. You can check SKN and RTGS service rates here.
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