National Electronic Funds Transfer (NEFT) is a nationwide payment system that allows individuals and businesses to transfer money electronically from one bank account to another. It operates on a deferred net settlement basis, meaning transactions are processed in batches at specific intervals throughout the day. NEFT is widely used for various transactions, including bill payments and fund transfers. To use NEFT, customers need to provide details such as the recipient's bank account number, the bank's IFSC code, and the amount to be transferred. This system is secure, efficient, and eliminates the need for physical cash or checks, making it a popular choice for digital transactions.