Step-by-Step Guide: How to Perform SEFT Transactions in India:

In the era of technological innovation, banking services have evolved significantly. One such significant evolution in banking services is the adoption of electronic funds transfer systems. In India, a commonly used method for electronic funds transfer is SEFT or Special Electronic Funds Transfer. This article will provide a detailed step-by-step guide on how individuals and businesses can initiate SEFT transactions in India.

What is SEFT?

SEFT, short for Special Electronic Funds Transfer, is a service offered by banks in India that allows individuals and businesses to transfer funds electronically from one bank to another. It is a safe, secure, and efficient method of transferring money, which eliminates the need for physical cheques or cash.

How to Initiate a SEFT Transaction: A Step-by-Step Guide

Log Into Your Bank's Internet Banking Portal: The first step to initiate a SEFT transaction is to log into your bank's internet banking portal using your User ID and Password. Most banks today offer online banking services and you can register for the same by visiting your bank's branch or through the bank's website.

Go to 'Transfer Funds' or 'Payments/Transfers' Option: Once you are logged into your online banking portal, find the 'Transfer Funds' or 'Payments/Transfers' option. This is typically located in the main menu or dashboard of your online banking portal.

Select 'SEFT' Option: After you've navigated to the 'Transfer Funds' or 'Payments/Transfers' option, you will see multiple methods for transferring funds. Here, you need to select 'SEFT' as the preferred method for transfer.

Enter Recipient's Bank Details: In this step, you need to enter the details of the recipient's bank. This includes the recipient's name as per their bank records, their bank account number, and the IFSC code of their bank branch. The IFSC (Indian Financial System Code) is a unique code that identifies each branch of every bank in India. Ensure that all the details entered are accurate to avoid any transaction errors.

Enter the Amount to be Transferred: Once the recipient's bank details are entered, you need to specify the amount you wish to transfer. Be sure to double-check the amount before proceeding.

Confirm and Submit the Transaction: After all the details have been filled in, review the information thoroughly. Once you are certain that all the information is correct, you can then confirm and submit the transaction.

Transaction Acknowledgement: After the transaction is processed, you will receive an acknowledgement from your bank, confirming the successful transfer. This usually includes a unique transaction ID, which can be used for future reference or tracking.

Important Points to Keep in Mind When Performing a SEFT Transaction

  • Always ensure that the recipient's bank details entered are correct. Incorrect information can result in a failed transaction or the funds being transferred to a wrong account.
  • Banks may have set limits on the amount that can be transferred via SEFT in a day. Always check the limits set by your bank to avoid any inconvenience.
  • Banks may charge a nominal fee for SEFT transactions. This fee varies from bank to bank, and it's good to be aware of these charges.
  • Although SEFT transactions are processed in real-time, there can be delays due to network issues, bank server downtime, or public holidays.


In conclusion, SEFT is a reliable, efficient, and convenient method for electronic funds transfer. Whether you are an individual or a business, understanding how to perform a SEFT transaction can make your financial transactions seamless and hassle-free. Remember to always verify the details you input and to adhere to the guidelines set by your bank. Happy banking!

Disclaimer: The process of SEFT transactions may vary slightly from bank to bank. Always consult with your bank for detailed procedures and any queries related to electronic funds transfer.

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