What Is IMPS? – Full Form, Features, Steps, Charges and More

The full form of IMPS in banking is Immediate Payment Service. It is a real-time fund transfer service that lets you send money instantly through participating banks and RBI-authorised Prepaid Payment Instrument (PPI) issuers. IMPS can be useful for urgent transfers and is available round the clock, including weekends and bank holidays. 

Before you transfer money, it is important to understand the applicable limits, bank-specific charges, supported channels and beneficiary details. Read on to learn how IMPS works, how to use it and what to check before initiating a transfer. 

What is IMPS Transfer? 

IMPS stands for Immediate Payment Service. 

Here are some key points that explain this facility: 

1.  IMPS was launched by the National Payments Corporation of India (NPCI) in November 2010. 

2.  It is an electronic, real-time interbank fund transfer service. 

3.  Depending on the bank, IMPS can be accessed through mobile banking, internet banking, ATMs, branches and other supported channels. 

4.  IMPS is offered through participating banks and RBI-authorised Prepaid Payment Instrument (PPI) issuers. 

5.  The service works 24×7, including Sundays and bank holidays. 

6.  Transfers can be made using account number and IFSC or, where supported, mobile number and MMID. 

7.  The service is designed for instant transfer and provides transaction confirmation through the bank or payment channel. 

Features of IMPS 

Now that you know the meaning of IMPS, here are some of its main features: 

Secure: Banks use authentication and security controls to protect IMPS transactions. 

Flexible: IMPS is available 24×7, including weekends and bank holidays. 

Accessible: It can be used through internet banking, mobile banking and other bank-supported channels. 

Versatile: IMPS supports Person-to-Person (P2P) transfers using mobile number and MMID, Person-to-Account (P2A) transfers using account number and IFSC, and Person-to-Merchant (P2M) payments where supported. 

Instant: Funds are generally transferred in real time, subject to successful processing by the participating banks. 

Easy: You can transfer funds using the recipient details required for the chosen IMPS route. 

Types of IMPS Transfers 

The exact options depend on your bank, but common IMPS channels include: 

Mobile Banking: Send money using account number and IFSC or, where supported, the beneficiary’s registered mobile number and MMID. 

Net Banking: Transfer funds using the beneficiary’s account number and IFSC after completing the bank’s required authentication or beneficiary setup. 

ATM: Some banks allow IMPS transfers through ATMs using the details supported by that bank. 

SMS or IVR: Some banks may support IMPS through SMS or IVR. These channels can have different transaction limits and authentication requirements. 

IMPS Transaction Limit and Timings 

IMPS is available 24×7 throughout the year. NPCI currently sets the IMPS limit at up to ₹5 lakh per transaction for channels other than SMS and IVR. Individual banks may set lower per-transaction or daily limits depending on the account type, channel, security controls or beneficiary status. 

Banks may also apply a cooling period or lower limit immediately after a new beneficiary is added. Check the limit shown in your bank’s app or internet banking portal before initiating a high-value transfer. 

IMPS Transaction Charges 

IMPS charges are decided by individual banks and may vary by account type, channel and transaction amount. The table below shows indicative outward IMPS charges for selected retail/savings-account channels based on the banks’ currently published schedules. 

Bank	Indicative outward IMPS charges
Axis Bank	Up to ₹1,000: ₹2.50; above ₹1,000 to ₹1 lakh: ₹5; above ₹1 lakh to ₹5 lakh: ₹10
HDFC Bank	Up to ₹1,000: ₹3.50; above ₹1,000 to ₹1 lakh: ₹5; above ₹1 lakh: ₹15
ICICI Bank	Up to ₹1,000: ₹2.50; above ₹1,000 to ₹1 lakh: ₹5; above ₹1 lakh to ₹5 lakh: ₹15
Kotak Mahindra Bank	Selected savings accounts: up to ₹1 lakh: ₹5; above ₹1 lakh to ₹5 lakh: ₹15. Some account variants may have different or nil charges.
Punjab National Bank	Online: up to ₹1,000: Nil; above ₹1,000 to ₹1 lakh: ₹5; above ₹1 lakh: ₹10
State Bank of India	Online retail: up to ₹25,000: Nil; above ₹25,000 to ₹1 lakh: ₹2; above ₹1 lakh to ₹2 lakh: ₹6; above ₹2 lakh to ₹5 lakh: ₹10
YES Bank	Standard savings schedule: up to ₹1,000: ₹2.50; above ₹1,000 to ₹1 lakh: ₹5; above ₹1 lakh: ₹15

Note: Charges shown above are indicative and can differ by account variant, channel, waiver or subsequent bank revision. Applicable GST/taxes may be extra. Always check your bank’s latest Schedule of Charges before initiating a transfer. 

How to Transfer Money Through IMPS 

The exact screens differ by bank, but the usual process is: 

1.  Log in to your bank’s mobile banking app or internet banking portal. 

2.  Open the fund transfer or payments section. 

3.  Choose an existing beneficiary, add a new beneficiary or use a one-time transfer option, if available. 

4.  Select IMPS as the transfer method. 

5.  Enter the required beneficiary details. For P2A, this is generally the account number and IFSC; for P2P, it may be the registered mobile number and MMID. 

6.  Enter the transfer amount and review the details carefully. 

7.  Authenticate the transaction using the method required by your bank, such as OTP, MPIN or another approved factor. 

8.  Confirm the transfer and save the transaction reference number for future tracking. 

Advantages of IMPS 

Whether it is a personal or business transfer, IMPS offers speed and round-the-clock availability. Key advantages include: 

Speed and Security: IMPS processes eligible transactions in real time using bank authentication and payment-system controls. 

Convenient Access: It is available through mobile banking, internet banking and other channels supported by the bank. 

Always Available: The service operates 24×7, including weekends and bank holidays. 

Multiple Transfer Routes: Depending on your bank, you can transfer using account number and IFSC or mobile number and MMID. 

Transaction Confirmation: The bank or payment channel generally provides immediate status or debit confirmation for the transfer. 

Multi-Purpose Use: IMPS can support person-to-person, person-to-account and merchant payments where the relevant route is enabled. 

Points to Remember for IMPS 

In addition to the timing, transfer limit and charges, keep these points in mind: 

1.  You do not necessarily need mobile banking for every IMPS route. Internet banking and other bank-supported channels may also be available. 

2.  MMID and MPIN are relevant to the mobile number + MMID route; they are not required for account number + IFSC transfers where that route is supported. 

3.  Always verify the beneficiary’s account number, IFSC, mobile number or MMID before confirming a transfer. 

4.  Bank-specific daily limits, beneficiary cooling periods and account-level restrictions can apply even though IMPS itself is available 24×7. 

5.  Keep the transaction reference number until the beneficiary confirms receipt. 

How to Register for IMPS 

Registration requirements vary by bank. In many cases, you can use IMPS once your internet banking or mobile banking transaction facility is active. 

1.  Register for your bank’s internet banking or mobile banking service, if you have not already done so. 

2.  Enable fund transfers and complete any beneficiary registration or cooling-period requirement specified by the bank. 

3.  If you want to use the mobile number + MMID route, obtain or generate the MMID and set up the required mobile-banking authentication such as MPIN. 

4.  For account number + IFSC transfers, add the beneficiary or use the bank’s permitted one-time transfer flow and authenticate the transaction. 

Under NPCI’s current framework, the IMPS per-transaction limit is up to ₹5 lakh for channels other than SMS and IVR, but your bank may apply a lower transaction or daily limit. 

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FAQs on IMPS Transfer 

1.What is IMPS and how does it work? 

IMPS is a real-time fund transfer service offered through participating banks and RBI-authorised PPI issuers. You can transfer money using account number and IFSC or, where supported, mobile number and MMID. The exact registration and authentication flow depends on your bank. 

2.What is an example of an Immediate Payment Service? 

An example is sending ₹5,000 instantly from your bank account to another bank account through IMPS using the beneficiary’s account number and IFSC. IMPS, UPI, NEFT and RTGS are separate payment systems or transfer methods with different operating and settlement features. 

3.What is the IMPS transfer limit? 

NPCI currently permits up to ₹5 lakh per IMPS transaction for channels other than SMS and IVR. Your bank may set a lower per-transaction or daily limit depending on the account and channel. 

4.What happens if IMPS is not credited? 

If your account is debited but the beneficiary account is not credited, RBI’s failed-transaction framework requires an auto-reversal by the beneficiary bank by T+1 day if the credit cannot be completed. A delay beyond T+1 day can attract compensation of ₹100 per day. Contact your bank if the amount is neither credited nor reversed within the prescribed timeline. 

5.What is the full form of IMPS in banking? 

IMPS stands for Immediate Payment Service. It is an instant, 24×7 electronic fund transfer service operated by NPCI. 

6.What is the difference between IMPS, NEFT and RTGS? 

All three can be used for bank transfers, but their settlement method and limits differ: 

Feature	IMPS	NEFT	RTGS
Settlement	Real time	Half-hourly batches	Real time, gross settlement
Availability	24×7	24×7	24×7
Typical minimum	No NPCI minimum	No RBI floor	₹2 lakh floor
Upper limit	NPCI: up to ₹5 lakh per transaction for most channels; bank limits may be lower	No RBI ceiling; bank limits may apply	No RBI ceiling; bank limits may apply