4. NPCI acts as the intermediary and further instructs the beneficiary's bank which after due check of the beneficiary's credentials credits his account with the given amount.
5. The beneficiary is informed immediately of the fund transfer through SMS alert on his mobile.
6. The beneficiary bank now confirms the amount being credited to NPCI, which reports the same to the remitting bank.
7. The remitting bank then send an SMS alert to the remitter's mobile confirming the success of the transfer.
A customer will be allowed to transfer maximum Rs 50000 to one account per day. For transactions up to Rs 1000, there is no end to end encryption process needed for fund transfer to take place.
So far seven banks have registered for IMPS which include State Bank of India, Bank of India, Union Bank of India, ICICI Bank, Yes Bank, HDFC Bank and Axis Bank. Other names like Standard Chartered Bank, Corporation Bank, Canara Bank and Citibank are likely to join IMPS soon.