The TT full form is Telegraphic Transfer. It refers to an electronic method used by banks to transfer money from one account to another, usually across international borders.
It was once done through telegraph messages, but today, it uses secure digital networks. The method is widely used by businesses and individuals to send money overseas safely and quickly.
Understanding TT Meaning in Banking
The TT meaning in banking refers to a bank-to-bank transfer system where funds are transmitted electronically. It is one of the most reliable modes of international remittance.
In this process, the sender instructs their bank to send money to a recipient’s account in another bank, often located in a different country. The transfer usually takes 1-4 business days, depending on the destination, intermediary banks and currency exchange.
TT Payment Procedure
The TT payment procedure is simple and efficient:
Step 1: The sender submits a transfer request to their bank along with the recipient’s banking details.
Step 2: The bank verifies and initiates the transaction through its secure network.
Step 3: The recipient’s bank receives the message and credits the funds to the beneficiary’s account.
Step 4: Banks may charge a nominal transfer fee and currency conversion cost.
This method ensures funds reach securely without physical documentation or cheques.
Types of TT
There are two Types of TT: inward telegraphic transfer and outward telegraphic transfer.
Inward TT refers to receiving money from abroad, while outward TT involves sending money overseas. Both are used for purposes such as trade payments, tuition fees or personal remittances.
A Telegraphic Transfer example can be when an Indian company pays its supplier in Japan through TT. The Indian firm’s bank debits its account and electronically sends the payment instruction to the Japanese bank, which then credits the supplier’s account.
In short, it remains a secure and widely accepted method for global fund transfers.
