homepersonal finance NewsNew IMPS rule from February 1: What is MMID and how to transfer funds

New IMPS rule from February 1: What is MMID and how to transfer funds

MMID is a unique seven-digit number issued by banks for mobile banking access. It streamlines the person-to-person payment method, requiring only the recipient's mobile number and MMID.

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By Anshul  Jan 30, 2024 5:00:49 PM IST (Published)

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New IMPS rule from February 1: What is MMID and how to transfer funds

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Customers will likely be able to transfer up to ₹5 lakh between bank accounts without adding beneficiary details using the Immediate Payment Service (IMPS) from February 1, 2024. While the conventional method of IMPS payment involves details such as the recipient's bank account number, bank name, and IFSC code, the second approach requires the recipient's mobile number and a mobile money identifier (MMID).
The new IMPS rule may popularise the MMID method.
MMID is a unique seven-digit number issued by banks for mobile banking access. It streamlines the person-to-person payment method, requiring only the recipient's mobile number and MMID.
To conduct an IMPS transaction using MMID, one must have the receiver’s mobile number and MMID. In cases where the MMID is unavailable, the sender can use the traditional approach with the recipient's bank account number, IFSC, and Aadhaar number.
This unique identifier holds several key features:
  • The first four digits represent the unique ID of the bank providing IMPS services.
  • MMID is crucial for secure transactions through mobile banking across different banks.
  • Every account holder is assigned a unique MMID to identify their specific bank account.
  • MMID can be linked to the account holder’s mobile number for seamless fund transfers.
  • As transactions via IMPS occur in real-time through electronic means, the MMID acts as a safety measure, ensuring the security of transactions.
    Additionally, if an account holder links their mobile number to their bank account, fund transfers using MMID eliminate the need to share bank account numbers or IFSC with the sender or receiver.
    Generating an MMID varies slightly between banks.
    Users can generate their MMID through mobile banking applications, net banking portals, or by calling their bank's customer service.
    Regardless of the method, the MMID is typically generated within 24 hours.
    To transfer funds using MMID:
    • Login to Mobile/Internet Banking
    • Select 'Fund Transfer' > 'IMPS'
    • Provide Beneficiary's MMID and MPIN
    • Enter the Transfer Amount and Confirm
    • Authenticate the Transaction with OTP
    • To receive funds using MMID:
      • Share Basic Details (Name, Mobile Number, MMID) with Sender
      • Request Sender to Follow IMPS Instructions
      • Receive SMS Notification on Successful Fund Transfer
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