New IMPS rules for fund transfer

The new IMPS rules for fund transfer, which came into effect on February 1st, 2024, aim to make the process more convenient and user-friendly. Here's a summary:

Key Changes:

• Transfer without adding beneficiary: You can now transfer up to ₹5 lakh to a new beneficiary just by using their mobile number and bank name, without needing their account number or IFSC code. This simplifies the process and lowers the likelihood of errors.
• Individual bank limits: While the overall limit is ₹5 lakh, individual banks may have their own lower limits for this simplified IMPS transfer. Be sure to check with your bank for their specific limit.
• Multiple accounts linked to one mobile number: If the recipient has multiple accounts linked to their mobile number, the money will be credited to their primary/default account, with their consent. Transactions will be declined if consent is not provided.
• Compliance by banks: All member banks of the National Payments Corporation of India (NPCI) are required to comply with these new rules and offer the simplified IMPS transfer option.

Additional Information:

• This new rule applies to all IMPS channels, including mobile banking, internet banking, and ATMs.
• The existing method of transferring funds using account number and IFSC code is still available.
• It's crucial to verify the recipient's mobile number and bank name carefully before initiating the transaction to avoid sending money to the wrong person.

 

 

Categories: Finance