Quick and reliable money transfer methods are essential in today’s scenario, and one such method that has gained significant popularity in India is IMPS. But what exactly is IMPS? Understanding the complete form and its benefits can help you maximise this service for your banking needs. So, let’s read through this post and learn more!
Understanding IMPS Full Form
IMPS full form – Immediate Payment Service, is an instant interbank electronic fund transfer service that lets you transfer money in real-time. This service is available 24/7, including weekends and bank holidays, making it one of the most convenient payment options.
How IMPS Works?
IMPS is managed by the National Payments Corporation of India (NPCI). It facilitates instant money transfers through mobile phones, ATMs, and internet banking. To use IMPS, you need an active bank account and access to your bank’s mobile or internet banking services.
The process of transferring money via IMPS is simple:
- Log into your mobile banking or internet banking application.
- Select the IMPS option.
- Enter the recipient’s details, such as their mobile number, MMID (Mobile Money Identifier), bank account number, and IFSC code.
- Enter the amount you wish to transfer.
- Confirm the transaction by entering your secure PIN or OTP (One-Time Password).
The money is transferred instantly, and both the sender and the recipient receive a confirmation message.
Benefits of IMPS
- Instant Transfers: One of the main advantages of IMPS is its speed. Transfers are completed in real time, allowing recipients to access the funds immediately. This is particularly useful in emergencies or when time-sensitive payments are required.
- Availability: IMPS is available 24/7, including weekends and bank holidays. This round-the-clock availability ensures you can transfer money whenever needed without worrying about banking hours.
- Convenience: IMPS can be accessed through various channels, including mobile banking, internet banking, and ATMs. This flexibility allows users to choose the most convenient method at home or on the go.
- Security: IMPS transactions are highly secure, requiring authentication through secure PINs or OTPs. This reduces the risk of fraudulent activities and ensures your money is transferred safely.
- No Minimum Transfer Limit: Unlike other fund transfer methods, IMPS does not have a minimum transfer limit. This makes it suitable for small and large transactions, catering to various financial needs.
What is the relationship between IMPS and eKYC?
IMPS is often used in conjunction with (electronic Know Your Customer)eKYC.This is a paperless process that verifies customers’ identities using electronic methods, such as Aadhaar-based authentication. This streamlined verification process simplifies the account opening procedure and enables faster access to banking services, including IMPS.
For instance, when you open a new bank account using e-KYC, your details are verified electronically, allowing you to start using IMPS and other banking services almost immediately. This seamless integration between IMPS and e-KYC enhances the banking experience by reducing paperwork and speeding up transactions.
How to Register for IMPS?
You must register for mobile or internet banking with your bank to use IMPS. Here are the general steps to get started:
- Visit your bank’s branch or website to register for mobile or internet banking services.
- Fill out the required forms and submit the necessary documents.
- Once your registration is complete, you will receive your login credentials.
- Log into your mobile or internet banking application and activate the IMPS service by following the instructions on-screen.
Once registered, you can start using IMPS to make instant money transfers.
Conclusion
IMPS (full form – Immediate Payment Service) is a revolutionary fund transfer service that offers instant, secure, and convenient money transfers. With its 24/7 availability and integration with e-KYC, IMPS has become an essential part of the modern banking experience in India. Understanding IMPS and its benefits can help you utilise this service for your financial transactions, ensuring quick and hassle-free money transfers anytime, anywhere.