This document discusses transformer inrush current and its impact on differential relays. Transformer inrush occurs when the flux in the transformer core needs to be established, causing a large magnetizing current to flow. This inrush current appears as a differential current that can cause misoperation of transformer differential relays. The document examines characteristics of inrush current like the switching point, remnant flux, system impedance, and transformer design. It also discusses various harmonic-based methods for restraining differential relays during inrush like percentage of total harmonic, percentage of 2nd harmonic, and adaptive 2nd harmonic methods. The considerations for applying these methods include reliability, security, and speed of operation.