IMPS Full Form – Immediate Payment Service

IMPS Full Form: IMPS is a mode of digital payment available to users for 24 hours a day irrespective of any public or bank holidays. Read this article to know about IMPS full form, its uses, and how to make transactions using IMPS.

The IMPS full form stands for Immediate Payment Service associated with banking transfers and payment service. Immediate payment service is the concept or method which instantly delivers money to your bank account within seconds. You can either use mobile banking or net banking to transfer money through IMPS.

You can make transfers at any time as it is available 24×7 throughout. In this blog, let us learn how the IMPS system works and its benefits. We will also learn how to transfer money through the IMPS system.

IMPS Full Form

The IMPS full form is Immediate Payment Service which is an instant online payment system in India. It supports inter-bank transfer available 24/7 hours. This payment method has been operating in India since November 2010. The complete IMPS system is managed by National Payments Corporation of India (NPCI).

This complete system allows you to transfer money 24/7 including bank holidays. You can use IMPS using mobile applications, Internet banking, ATMs. and SMS by different banks.

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IMPS Full Form Overview

Let us know some of the major highlights of the IMPS method of payment.

Objectives of IMPS Transaction

IMPS transactions are aligned with making payment transfers easier for everyone where bank customers can use mobile devices or smartphones as a channel to transfer or receive funds instantly. All you need is the mobile number of the beneficiary to make payments.

IMPS also facilitates the mobile banking payment system already provided by Reserve Bank of India along with the guidelines of 2008 to transfer funds in cross banks and mobile operators while following all safety protocols. The complete IMPS transaction includes a Remitter (Sender), Beneficiary (Receiver) and Banks.

Also Check: IGST Full Form

10 Important Features of IMPS Transaction

Check some of the most influential features of IMPS transactions available for users across different banks.

1. Instant Money Transfer
With IMPS you are allowed to send money from one bank account to another in a blink of seconds. The receiver instantly gets the money in their account which makes it one of the best money transfer methods especially for urgent payments.

2. 24×7 Availability
You get more privileges than the traditional banking systems where there used to be many delays due to holidays, events, closing hours and more. But with IMPS you can make payments 24 hours a day, every day in a week including Sundays and even on bank holidays. You can use this method of money transfer at any point of time irrespective of day or night.

3. Multiple Channels of Access
You do not need to visit a bank to make payments using IMPS, it follows a digital mode of payment where you can use different methods to make payment like Mobile banking, internet banking, ATM, SMS, bank branch, and more. This flexibility makes it easy for everyone to transfer money using IMPS.

4. Safe and Secure
IMPS method provides a safer payment alternative using various encrypted channels and multi-factor authentication. It ensures all the transactions are secured from any kind of unauthorised access, fraud or misuse.

5. Supports Different Identifiers
You can make easy payments with identifiers such as Mobile number and MMID, Account number or IFSC, Aadhaar Number to send money easily online even without internet connection.

6. Immediate Confirmation
Traditional banking payments used to take a lot of time for payment confirmation. With IMPS money transfer gets approved with simple text messages or email confirmation on both sender and receiver device. Effective tracking is available with instant payment confirmation.

7. Low Cost
Banks charge very low or minimal fees for IMPS transactions especially compared to other traditional fund transfer methods. In most of the banks there are null charges for regular transfers to different bank accounts.

8. Wide Coverage
The IMPS transaction is accepted by top banks throughout India making it more accessible and a universal mode of payment for users across the country.

9. Transaction Limit
IMPS facilitates higher transaction limits up to INR 2 lakh per transaction. However, the transaction limit might vary based on different banks, platforms used, users financial history and more.

10. Used for P2P and P2M Payments
IMPS can be used for both payment methods such as Person to Person (P2P) where you can transfer money directly to your family, friends, colleagues. You can also make IMPS transfers using Person to Merchant (P2M) for small businesses owners, service providers.

Also Check: MJPRU Full Form

What Will You Need to Start Mobile Banking With IMPS?

You have to follow some of the simple steps to start mobile banking using IMPS mode.

• Register your Number with the mobile banking service of your bank. Ask your bank for MMID and MPIN from the bank.
• Login to your mobile banking application and select the “IMPS option”.
• Enter the beneficiary mobile number, MMID, Amount, and your MPIN to start the transaction.
• You will receive a text message with the status of your transaction. Once the amount is credited to the beneficiary you will receive a success message. Also, beneficiaries will receive credit messages on their mobile application.
• You can keep the transaction number with you for any future query.
• You can either use mobile number & MMID or choose Account number and IFSC code for transaction.

Also, note that two factor authentication will take place for all the channels. The transaction limit will apply based on the bank policy.

• When you are making a transaction using Mobile then you can use mobile number and MPIN for easier transactions.
• You can also use your Card number and ATM PIN for transactions using an ATM.
• When you are considering a transaction using Internet banking then you will need a user ID and internet banking password/ transaction password to initiate the transfer.

Also Check: HSC Full Form

Important Points to Keep In Mind While Doing IMPS

Customers must be aware of the risks and take all precautions while making an IMPS transaction to avoid any chances of fraud attempts.

• Make sure you do not share your card details with anyone including the Card number, Expiry Date, CVV number or anything
• Do not share your OTP for any transaction or anything related to the bank until and unless it is initiated by you to a trusted person.
• Do not forward any messages to any unknown number.
• Make sure you do not click on any link received from any unknown number on your device.
• Also, do not share your mobile banking password or net banking password with anyone.

Also Check: NTSE Full Form

IMPS Full Form FAQs

What is the full form of IMPS?

IMPS full form stands for Immediate Payment Service, a digital form of payment.

What is the best benefit of an IMPS transaction?

With IMPS transactions you get 24/7 availability every day at any time you can send payment to anyone.

Who manages IMPS?

IMPS is managed by National Payments Corporation of India also known as NPCI. They regulate and ensure ethical activities and ensure no fraud attempts are successful.