What is IMPS

Understanding IMPS (Immediate Payment Service) - Charges, MMID, and Transfers

IMPS stands for Immediate Payment Service, and as the name suggests, it is a real-time interbank electronic fund transfer system in India. Developed by the National Payments Corporation of India (NPCI), IMPS enables users to make instant money transfers between banks, 24/7, 365 days a year. Unlike traditional methods of fund transfer, which can take hours or even days to complete, IMPS ensures that the recipient receives the money within seconds.

IMPS can be used for various transactions, including person-to-person (P2P) transfers, bill payments, mobile recharges, and online shopping. It has revolutionised the way people make payments and has become an essential tool for financial inclusion in India, providing access to banking services to a wide range of people, including those in remote areas.

IMPS charges

One of the key advantages of using IMPS is its affordability. IMPS charges are generally minimal, making it an economical choice for users. Here are the IMPS charges basis the transaction amount:

What is MMID

MMID, or Mobile Money Identifier, is a crucial component of the IMPS system. It serves as a unique 7-digit number that identifies a bank account linked to a mobile number. MMID is required for certain types of IMPS transactions, particularly when you want to send money to someone who does not have your bank's mobile app or internet banking facilities.

To generate an MMID, you need to follow these steps:

1. Contact your bank: Reach out to your bank to request an MMID. Most banks provide MMID generation services through their mobile apps, internet banking portals, or by visiting a branch in person.
2. Verification: The bank will verify your identity and link your mobile number to your bank account.
3. MMID generation: Once the verification is complete, the bank will generate a unique MMID for your account and send it to your registered mobile number.
4. Secure your MMID: It is crucial to keep your MMID confidential to prevent unauthorised access to your bank account. Do not share your MMID with anyone you do not trust.

With an MMID, you can initiate IMPS transactions by providing your MMID and mobile number to the recipient, allowing them to receive funds in real time.

What is IMPS transfer

An IMPS transfer is the process of electronically sending money from one bank account to another in real time using the Immediate Payment Service. It offers a convenient and secure way to transfer funds without the delays associated with traditional banking methods. Here is how an IMPS transfer works:

1. Access the banking channel: To initiate an IMPS transfer, you need to download the Bajaj Finserv app or the banking app.
2. Login and select IMPS: If you are using the Bajaj Finserv app or website, log in to your account and navigate to the IMPS section. Choose the "Transfer Funds" or "Send Money" option.
3. Enter recipient details: Provide the recipient's mobile number and MMID (if required), or their bank account number and IFSC code, depending on the transfer method.
4. Enter transaction details: Specify the amount you wish to transfer and add any remarks or references to the transaction if needed.
5. Review and confirm: Double-check the recipient's details and transaction information. Once you are satisfied, confirm the transaction.
6. OTP verification: For security purposes, you may be required to enter a One-Time Password (OTP) sent to your registered mobile number to authorise the transfer.
7. Transaction completion: Upon successful verification, the IMPS transfer will be processed immediately. You and the recipient will receive instant confirmation of the transaction.
8. Recipient's confirmation: If you are the recipient of an IMPS transfer, you will receive a notification and confirmation of the funds received in your account.

IMPS transfers are not only quick and efficient but also secure, as they use robust encryption and authentication measures to protect your financial data. IMPS has changed the way we transfer funds, offering unparalleled speed and convenience. Its real-time capabilities have made it an indispensable tool for individuals and businesses alike, promoting financial inclusion and efficiency in the digital age. IMPS continues to shape the future of financial transactions.