IMPS Meaning in Banking

IMPS or Immediate Mobile Payment Service is a real time money transfer option that allows you to make fund transfers instantly. This service is accessible online through net banking or mobile banking accounts in participating banks.

IMPS is one of the most widely used fund transfer options because you are able to transfer money instantly to any account of your choice. There are several benefits such as:

• You can transfer money in real time which ensures that it reflects in the beneficiary account within minutes of making the transfer.
• This facility is available 24/7 and even on bank holidays unlike other fund transfer options.
• You are able to transfer up to Rs.2 lakh each day.
• This fund transfer option is extremely secure and uses a combination of unique personal details prevents wrong transactions.

IMPS transactions can be made online using your net banking and mobile banking account. You have two options of making an IMPS transfer to the beneficiary:

• Using the MMID and mobile number: Once a user is registered for mobile banking, he or she can acquire a Mobile Money Identifier or MMID. This seven digit number is unique to each account linked to mobile banking. You can provide the mobile number and the unique MMID as beneficiary details to ensure that the money is transferred to the account that you choose.
• Using IFSC Code and account number: The second option available is to provide the account number of the beneficiary and the IFSC code of the bank where the account of the beneficiary is held. This is possible in case the beneficiary does not have access to his or her MMID or has not yet registered for the same.

Each IMPS transaction that you make is chargeable. The IMPS rate offered by most banks is Rs.5 per transaction. But, IMPS charges vary from one bank to another. This is not inclusive of the GST charges and is applicable on every individual transaction made using the IMPS Services available to you.