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Saturday, October 9, 2021

TRANSACTION LIMIT IN IMPS ENHANCED TO ₹5 LAKH

In the Statement on Developmental and Regulatory Policies on October 8, 2021, the Reserve Bank of India announced that the transaction limit of Immediate Payment Service (IMPS) to be increased to ₹5 lakh.

“In view of the importance of the IMPS system in the processing of domestic payment transactions, it is proposed to increase the per-transaction limit from ₹2 lakh to ₹5 lakh for channels other than SMS and IVRS”, said RBI.

With effect from January 2014, the per-transaction limit in IMPS has been capped at ₹2 lakh for channels other than SMS and IVRS. The per-transaction limit for SMS and IVRS channels is ₹5000.  However, in view of RTGS now operational round the clock, there has been a corresponding increase in settlement cycles of IMPS, thereby reducing the credit and settlement risks, the statement said. Necessary instructions in this regard would be issued separately, it added.

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