What is Immediate Payment Service (IMPS)?
Curious about Immediate Payment Service
Immediate Payment Service (IMPS) is an electronic funds transfer service available in India. It allows individuals and businesses to make instant, realtime interbank electronic payments. IMPS enables users to send and receive funds 24/7, including weekends and holidays.
Here are some key features of IMPS:
1. RealTime Transactions: IMPS facilitates instant transfer of funds between bank accounts in realtime. This means that the recipient will receive the funds immediately after the transaction is initiated.
2. Availability and Accessibility: IMPS can be accessed through multiple channels, including mobile banking applications, internet banking platforms, ATMs, or bank branches. It provides convenience and flexibility to users, allowing them to initiate transactions anytime and from anywhere.
3. Different Modes of Transfer: IMPS supports various modes of fund transfer, including using the recipient's bank account number and Indian Financial System Code (IFSC), Mobile Money Identifier (MMID) and Mobile Number, or Aadhaar Number. These options provide multiple ways to identify and transfer funds to the intended recipient.
4. Transaction Limits: IMPS transactions are subject to certain transaction limits, which may vary based on the bank and the channel used for the transaction. Generally, IMPS allows both small and large value transactions, providing flexibility for different payment needs.
5. ValueAdded Services: IMPS offers additional services beyond fund transfers. These include services like mobile recharge, bill payments, ticket booking, and merchant payments, depending on the capabilities offered by the participating banks.
6. Secure and Regulated: IMPS transactions are conducted securely through encrypted channels, ensuring the confidentiality and integrity of the transferred information. The service is regulated by the National Payments Corporation of India (NPCI), which oversees the payment systems in the country.
IMPS has become a popular payment option in India, particularly for persontoperson (P2P) payments, bill settlements, and instant fund transfers. It has played a significant role in promoting digital payments and financial inclusion by providing a fast and convenient method for transferring funds between individuals and businesses across different banks.