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      Question

      Which of the following is a funds transfer system that

      operates on a deferred net settlement (DNS) basis?
      A Real Time Gross Settlement (RTGS) Correct Answer Incorrect Answer
      B National Electronic Funds Transfer (NEFT) Correct Answer Incorrect Answer
      C Immediate Payment Service (IMPS) Correct Answer Incorrect Answer
      D Unified Payments Interface (UPI) Correct Answer Incorrect Answer
      E Society for Worldwide Interbank Financial Telecommunication (SWIFT) Correct Answer Incorrect Answer

      Solution

      NEFT operates in half-hourly batches where transactions are netted and settled at the end of each batch, making it a Deferred Net Settlement (DNS) system. RTGS and IMPS are real-time gross settlement systems. UPI is real-time. SWIFT is a messaging network, not a settlement system.

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