IMPS is an instant money transfer service facilitated by NPCI (National Payment Corporation of India). The full form of IMPS is Immediate Payment Service which allows people to send and receive funds from savings accounts in real-time. The service facilitates inter-bank transactions through mobile banking and internet banking. The major reason behind using IMPS is that it is available 24×7, 365 days which makes it highly flexible and dependable.
Features of IMPS
Here are the important features of IMPS in banking and money transfers:
- Flexibility: IMPS allows users to transfer funds at any time and from any location online. This service runs smoothly throughout the year, even on public and bank holidays.
- Fast and Easy Payment: IMPS allows for quick and easy fund transfers where the users can access bank accounts via mobile phones and make secure inter-bank fund transfers. As soon as the funds are transmitted, the sender and the receiver receive instant credit and debit notices.
- Versatile Platform: The fundamental aspect of IMPS is its versatility, as it may be utilised in various modes. P2M (Person to Merchant) payments can also be made with IMPS. It can be used to pay for insurance premiums, internet shopping, over-the-counter purchases, utility bill payments, transport and ticketing, and school, college, and university fees.
- Easy to use: IMPS is quite easy to use compared to other electronic fund transfer methods. For quick and simple transactions, IMPS necessitates mobile banking. To utilize these services, you must have a mobile facility in your associated bank account, as they work through the bank’s mobile application.
The Benefits of IMPS
- The fund transfer can be done using MMID, Aadhaar number and mobile number.
- IMPS serves you with the Debit and Credit Confirmation by SMS immediately.
- Using IMPS the money will be credited in the beneficiary’s account within a few seconds.
- IMPS is safe, secure and cost-effective.
- IMPS has no minimum amount limit on transactions of funds.
- IMPS is available for 24 hours in a day and even on holidays.
- The customer can make intrabank as well as interbank payments.
- IMPS can be used on a mobile phone, internet banking and even ATMs.
- In IMPS it is not compulsory to know about beneficiary’s Account number and IFSC.
How to Transfer Money Through IMPS?
Step 1: Download the mobile banking app for your respective bank or log in to the bank’s online banking portal using your User ID and Password.
Step 2: After login, click on “Transfer” and then select the option ‘add beneficiary’. You can also select the ‘One Time Transfer’ method.
Step 3: Now, select the transfer method as ‘IMPS’. For P2P transfer (phone to phone), provide your MMID & mobile number details, whereas, for P2A transfer (phone to account), you must provide your bank account number & IFSC code.
Step 4: Now, enter the required details of the beneficiary, such as name, registered mobile number, beneficiary MMID, and the amount to be transferred. Alternatively, you can also provide the account number and IFSC code if it is a P2A transfer.
Step 5: Click on ‘Accept Terms of Service (Terms & Conditions)’ and confirm the transaction.
List of Banks Participating in IMPS
- Allahabad Bank
- Andhra Bank
- Axis Bank
- Bank of Baroda
- Bank of India
- Canara Bank
- Catholic Syrian Bank
- Central Bank of India
- Citi Bank
- Federal Bank
- HDFC Bank
- HSBC Bank
- ICICI Bank
- IDBI Bank
- Indian Bank
- Indian Overseas Bank
- Karnataka Bank
- Karur Vysya Bank
- Kotak Mahindra Bank
- Punjab National Bank
- State Bank of India
- Syndicate Bank
- UCO Bank
- Union Bank Of India
- Vijaya Bank
- Yes Bank Ltd
Usage of IMPS- IMPS can be utilised to avail many services. One of the government’s most recommended service *99# banking is also based on IMPS. You can apply IMPS to transfer fund through these mediums.
- Smartphone- Bank App/ SMS / WAP/USSD (NUUP)
- Basic phone-SMS/USSD (NUUP)
- Internet- Bank’s Internet banking facility
- ATM- by using ATM Card at Banks ATM.
IMPS Charges and Transaction Limits
The users must pay certain charges against every IMPS transaction, depending on the amount. However, the IMPS charges usually range from Rs. 2.50 to Rs. 25 for amounts of Rs. 10,000 to Rs. 5 lakhs.
The IMPS charges for several banks in India are listed in the table below:
List of Banks | IMPS Charges |
State Bank of India | No charges |
Kotak Mahindra Bank | No charges |
ICICI Bank | Rs. 3.50 – Rs. 15.00 |
Bank of Baroda | Rs. 2.50 – Rs. 25.00 |
Punjab National Bank | Rs. 6.00 – Rs. 12.00 |
HDFC Bank | Rs. 3.50 – Rs. 15.00 |
Axis Bank | Rs. 2.50 – Rs. 10.00 |
Canara Bank | Rs. 5.00 – Rs. 18.00 |
AU Small Finance Bank | Rs. 10 |
IMPS Limit and Timings- The Reserve Bank of India imposed a daily transaction limit on IMPS transactions. Currently, the maximum IMPS limit for daily transactions is Rs. 5 lakhs. However, it might vary from bank to bank. The mimimum amount that can be transferred using IMPS is Rs. 1.
Factors to Consider While Using IMPS
- IMPS requires mobile banking for transferring funds. Even if you are transferring funds through IMPS using the web, you need to have the MMID of both parties and it cannot be generated without mobile banking.
- IMPS through net banking requires beneficiary information such as bank details, IFS code, mobile number of the receiver, name of the receiver, and MMID.
- Users must check the details twice before confirming the payment through UPI or IMPS. This is because the money transferred to the wrong bank account can only be returned with the consent of the beneficiary.
- In any case, it requires an internet connection either on a mobile phone or on your computer to transfer funds.
FAQs
Does the customer need to have a bank account for availing IMPS?
Both the customers having a bank account and those not having a bank account can avail IMPS. However, customers who do not have a bank account can avail this service through Pre-Paid Payments instrument issuer (PPI).
Can I link more than one account to the same mobile number?
Yes, you can link more than one account to the same mobile number. However, each account will have a different MMID.
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