The days of enduring long queues at bank branches are fading into the past, thanks to the adoption of various digital payment methods, including the National Electronic Fund Transfer (NEFT), Real Time Gross Settlement (RTGS), and Immediate Payment Services (IMPS).
IMPS, in particular, has emerged as one of the preferred choices for net banking money transfers. With new rules, the National Payments Corporation of India (NPCI) is planning to make IMPS transactions even more effortless.
The NPCI is soon said to enable users to transfer up to ₹5 lakh using IMPS without the need to add the recipient's mobile number and bank account name. This update will even eliminate the need to input beneficiary account numbers and IFSC (Indian Financial System Code).
IMPS, or Immediate Payment Services, is a 24x7 instant domestic funds transfer system that has transformed the way Indians conduct financial transactions.
India was the fourth country globally, following South Korea, South Africa, and the United Kingdom, to introduce this system. IMPS facilitates real-time fund transfers between the sender and receiver, with a deferred net settlement between banks, ensuring both accuracy and speed.
Users can utilise IMPS across a range of channels, including internet banking, mobile banking apps, bank branches, ATMs, SMS, and an Interactive Voice Response System (IVRS).
To send money through IMPS using the new simplified method, users can follow these steps:
Step 1:
Open the mobile banking app.
Step 2: Navigate to the 'Fund Transfer' section.
Step 3: Select 'IMPS' as the chosen method for fund transfer.
Step 4: Input the recipient's mobile number and select the beneficiary bank name; there's no need to enter an account number or IFSC.
Step 5: Specify the amount you wish to transfer, with a cap of ₹5 lakh.
Step 6: After providing the required details, confirm the transaction by clicking 'Confirm.'
Step 7: Finalise the transaction after receiving the one-time password (OTP).
