A Complete Guide about Instant Money Transfer

With e-commerce and m-commerce increasing rapidly in the country, there has been a big spike in the use of electronic fund transfers in recent years. A centralised network connects all banks, and the information of all bank accounts is accessible via a central server. Customers can now transfer funds instantly, irrespective of geographical location, thanks to the centralisation of bank networks. Banks have created unique and modern services for their customers by utilising this centralised model.

The instant money transfer (IMT) option has been one of the most famous services introduced by banks. Customers can withdraw cash without using a card when using the instant money transfer service. Customers can use this domestic money transfer service to send money to other users via mobile phone. The money can be withdrawn from ATMs that accept card-less withdrawals by the recipient. The information needed for a cardless withdrawal is sent to the recipient's mobile phone.

Instant Money Transfer Usage

IMT helps to transfer money immediately, and thus the feature is available 24 hours a day, seven days a week. The IMT feature is most effective when used in the following situations:

• The recipient is in desperate need of money.

• The payment must be made in cash.

• The beneficiary does not have a bank account.

• The recipient's bank account information is unavailable.

• The cash cannot be delivered to the recipient.

Benefits of Instant Money Transfer

• IMT is a real-time service that saves the parties involved in the transaction a significant amount of processing time.

• Both parties receive confirmation and information of money sent and received, and private information is maintained.

• Most banks charge a low service fee for this service.

• The IMT system enables its users to keep track of historical transaction data via SMS.

• The IMT system reduces the number of physical instruments that must be transported as well as the amount of paperwork required to complete transactions.

Initiation of Instant Money Transfer

A customer can use the IMT feature by signing into the online banking portal and selecting the IMT option. The recipient is instantly registered under this feature on a one-time basis by entering the recipient's name, mobile phone number, and email address. The recipient's mobile number and the IMT amount can be used to initiate a transaction with a registered recipient. Once the IMT is started, the recipient will receive an SMS with the information of the IMT transaction on their mobile phone. The following information should be included in the SMS:

• The amount transferred through IMT

• An OTP SMS code is generated by the bank to allow a withdrawal

• An IMT code that is unique to each transaction.

• The IMT's expiration date

Withdrawal of Instant Money Transfer

After the amount has been transferred to the recipient and the IMT information has been received, the recipient may use an ATM from the payee's bank network to withdraw cash offline via IMT. Certain information will be required by the ATM, such as:

• The recipient's cell phone number

• IMT code of the payee

• The SMS code for IMT

• The amount transferred through IMT

The ATM will deliver the cash transmitted via IMT after verifying the details. The SMS code will instantly expire after it has been used.

So, this is how IMT works.