What is Internet Banking?

 Internet banking, also known as online banking or e-banking or Net

Banking is a facility offered by banks and financial institutions that allow
customers to use banking services over the internet.
 Customers need not visit their bank’s branch office to avail each and
every small service. Not all account holders get access to internet
banking.
 If you would like to use internet banking services, you must register for
the facility while opening the account or later. You have to use the
registered customer ID and password to log into your internet banking
account.

Features of Online Banking

 Check the account statement online.

 Open a fixed deposit account.

 Pay utility bills such as water bill and electricity bill.

 Make merchant payments.

 Transfer funds.

 Order for a cheque book.

 Buy general insurance.

 Recharge prepaid mobile/DTH.

Advantages of Internet Banking

The advantages of internet banking are as follows:

 Availability: You can avail the banking services round the clock
throughout the year. Most of the services offered are not time-restricted;
you can check your account balance at any time and transfer funds
without having to wait for the bank to open.

 Easy to Operate: Using the services offered by online banking is simple

and easy. Many find transacting online a lot easier than visiting the
branch for the same.

 Convenience: You need not leave your chores behind and go stand in a
queue at the bank branch. You can complete your transactions from
wherever you are. Pay utility bills, recurring deposit account instalments,
and others using online banking.

 Time Efficient: You can complete any transaction in a matter of a few

minutes via internet banking. Funds can be transferred to any account
within the country or open a fixed deposit account within no time on
netbanking.

 Activity Tracking: When you make a transaction at the bank branch,

you will receive an acknowledgement receipt. There are possibilities of
you losing it. In contrast, all the transactions you perform on a bank’s
internet banking portal will be recorded. You can show this as proof of
the transaction if need be. Details such as the payee’s name, bank
account number, the amount paid, the date and time of payment, and
remarks if any will be recorded as well.
Disadvantages of Internet/Online Banking

The disadvantages of internet banking are as follows:

 Internet Requirement: An uninterrupted internet connection is a

foremost requirement to use internet banking services. If you do not have
access to the internet, you cannot make use of any facilities offered
online. Similarly, if the bank servers are down due to any technical issues
on their part, you cannot access net banking services.

 Transaction Security: No matter how much precautions banks take to

provide a secure network, online banking transactions are still
susceptible to hackers. Irrespective of the advanced encryption methods
used to keep user data safe, there have been cases where the
transaction data is compromised. This may cause a major threat such as
using the data illegally for the hacker’s benefit.

 Difficult for Beginners: There are people in India who have been living
lives far away from the web of the internet. It might seem a whole new
deal for them to understand how internet banking works. Worse still, if
there is nobody who can explain them on how internet banking works
and the process flow of how to go about it. It will be very difficult for
inexperienced beginners to figure it out for themselves.

 Securing Password: Every internet banking account requires the

password to be entered in order to access the services. Therefore, the
password plays a key role in maintaining integrity. If the password is
revealed to others, they may utilise the information to devise some fraud.
Also, the chosen password must comply with the rules stated by the
banks. Individuals must change the password frequently to avoid
 password theft which can be a hassle to remember by the account holder
himself.

Mobile Banking Meaning

 Mobile banking (m-banking) refers to the use of a mobile device to

access banking and financial services offered by banks.

 It enables customers to check their bank account balance, conduct

online transactions, transfer funds, pay bills, etc., without visiting banks.

Customers use m-banking through SMS, unstructured supplementary service

data (USSD), or an application (app) provided by the bank installed on their
mobile device. On the one hand, it offers the customers the convenience of
using banking services anytime, anywhere.

On the other hand, it also cuts banks' operating expenses and widens their
customer base. However, it comes with its share of downsides. It is vulnerable
to security threats and is not preferred by less tech-savvy customer

 Mobile banking (m-banking) refers to the use of a mobile device like a

smartphone or tablet to perform banking activities. It is done through a
mobile app, USSD, or SMS.

 It enables customers to access banking services easily, quickly, and

conveniently anytime, anywhere.
  Customers utilize mobile banking to view and monitor account details,
transfer funds, apply or repay a loan, make investments, lodge
complaints, deposit checks, etc.

 The key difference between mobile and internet banking is that the
former uses a mobile device while the latter employs a desktop or PC.

 M-banking is susceptible to online frauds but safety features like two-

step OTP verification, biometric login, and antivirus help to secure
transactions.

Mobile Banking Explained

M-banking refers to the use of the internet and mobile technology to bring
financial services to customers. Customers use m-banking through a USSD,
SMS, or mobile app to access banking services. As a result, it has eliminated
the customers' need to visit the bank branch for every other financial
necessity.

Busy lifestyle and, more recently, the COVID pandemic have forced people to
opt for mobile banking. Round-the-clock banking services at the fingertips
provide customers with an easy, quick, and hassle-free experience. At the
same time, banks also benefit from a reduction in operating costs due to
savings in time and resources.

Though beneficial, m-banking is exposed to security threats like hacking that

raise safety concerns among customers. In order to secure transactions,
banks keep updating the security features of their m-banking app regularly. In
addition, they also use a virtual private network (VPN), biometric login, SASE
security, and two-step OTP-based verification to ensure safety of customers.

To access m-banking, customers must download the bank’s m-banking app

from the app store. Then, proceed to create an online account to register for
the same. It involves answering some questions, selecting a username and
password, and setting up security preferences. After that, set an MPIN to be
used every time a transaction is made.

Once the bank verifies the credentials, the customer becomes the registered
user and can perform all the financial transactions using the mobile app. It
includes shopping online, paying utility bills, making account information
inquiries, transferring funds, using forex-related services, and booking tickets.

History

Let us discuss the m-banking history to know its origin. The earliest form of m-
banking was performed using SMS in the 1990s. However, with the
introduction of the mobile web and smartphones with wireless access protocol
(WAP) in 1999, banks in Europe started offering m-banking platforms to their
account holders.

Until 2010, banks were utilizing the mobile web and SMS to offer banking
services on the customer's mobile. But after 2010, the advent of the following
factors revolutionized the m-banking completely:

 Development of iOS by Apple and Android by Google for smartphones

 Emergence of web-based technologies (WBT) like CSS3, HTML 5, and

JavaScript

WBT enabled the launch of web-based and mobile-based applications for

banks on Android and Apple devices. As a result, banks started incorporating
advanced features in their apps to attract customers. The enhanced
functionality of apps with easy accessibility worked as bait for the customers.
Thus, over the years, these m-banking apps emerged as the new normal
globally.

Types of Mobile Banking Services

M-banking allows banks to offer a range of financial services to customers.

From accessing account information to utilizing transaction, investment, loan,
and support services, m-banking has assumed all roles traditionally requiring
the help of a bank representative.

1 - Account Information

The account holders can:

 Extract the details related to accounts like bank statements

 Enable or disable SMS alerts of transactions

 Manage the fixed deposits and recurring deposits

 Know the loan details and statements

 Get debit card details

 Obtain credit card statements

 Understand and invest in insurance details

 Perform investment in securities

2 - Transaction

Customers can transfer funds between self-operated accounts, make

payments to third-party bank account holders, and undertake utility bill
payments, premium payments, and loan repayment using the mobile-based
application. Moreover, many banking apps also integrate online shopping for
the ease of customers laced with offers, cash backs, and rewards upon using
these services.

3 - Investments

Many banks offer the facility of managing the investments like deposits,
insurance, and equities from their m-banking interface embedded in the app.

4 - Loans

Banks provide the window of loans management to their customers.

Customers can check the status of their loans, pay their EMIs, and even avail
small digital loans using the app-based mobile utility.

5 - Customer Support

All banks provide a dedicated menu in their m-banking app to submit requests
for services like cheque book, debit & credit card, and loan applications. The
account holders can also check their ATM card and credit card reward points
from the banking app.

6 - Content services

Several banks serve their customers with various loyalty programs, online
shopping discounts, recharge offers, and other finance-related news through
m-banking.

7 - Consumer Complaints

Customers can lodge complaints about any forgery or invalid transaction from
their accounts using the app.

Mobile Banking Features

M-banking has features that ensure customers can access their accounts and
carry out financial transactions on the go. Some key features of m-banking
are:
1 - Accessibility

M-banking offers 24-hour access to all customers. Customers can log in to

their app and view and track their account balances anytime. Besides, they
can engage in fund transfers even during bank holidays.

2 - Security

The banks recognize the importance of providing a secure environment to

customers for transactions based on the banking app. Hence, m-banking asks
for SMS access, location access, biometric access, and application password
from the customers to ensure their privacy and security.

3 - Transferability

Transferring funds from one bank account to another is the most basic m-
banking activity. All the banking app-based transfers are now secured using
two-step verification via app password and OTP-based transactions. The two-
step verification is applicable in fund transfers, utility bill payments, and online
shopping for the safety and convenience of customers.

4 - Investment Management

Many big banks offer the facility of securities trading through their banking
app. It makes it easier for the customers to trade hassle-free. Also, m-banking
enables customers to track their deposits and other investments from the
convenience of their homes.

5 - Digital Payments

At present, all m-banking apps have a QR code reader for payment at

merchant locations. So the customer has to point at the QR code of the
merchant at their shops and pay the price of the goods using the account
details from the QR code.

6 - Customer Service

M-banking provides personalized service to customers through live chat,

phone, notifications, etc. This helps customers to get the required assistance
without visiting the bank directly.

M-banking Advantages and Disadvantages

Like every other technology, m-banking can be advantageous as well as

disadvantageous to customers. Therefore, one must know its pros and cons to
stay safe.
Advantages

 Offers 24-hour accessibility to banking

 Saves time

 Provides a convenient way of making fund transfers and payments

 Enables easy tracking and monitoring of bank accounts

 Facilitates quick reporting of any illegal transaction or fraudulent activity

 Allows swift redressal of consumer complaints

 Increase request processing speed

 Makes online shopping possible

 Allows trouble-free management of investments

 Sends notification of bill or loan payments

 Encourages customers to stay indoors during a pandemic

 Eliminates the need to carry cash all the time

 Reduces chances of theft

Disadvantages

 Causes inconvenience for less tech-savvy account holders

 Removes human touch from banking

 Raises security concerns and online fraud

 Results in delays or losses in transactions due to mistakes

 Gives rise to comprehension issues due to the complex app interface

 Makes follow up on fraud reports difficult

 Delays service requests in case of internet issues

Mobile Banking vs Internet Banking

M-banking and internet banking both are online modes of conducting banking
transactions. Both are beneficial to the customers. Customers can use both
methods to perform essential banking services. Nevertheless, there are
certain differences as listed below:
 Mobile Banking Internet Banking

It can be accessed it is performed using

It performed using mobile device.
desktop

It is based on an app curated by the

bank to be used on mobile devices by It does not require any such app.
the customers.

It is conducted using SMS, phone, Customers only need a web browser to

USSD, or an app. access internet or online banking.

Account-holders can use mobile-based

Internet banking requires an internet
banking without an internet connection
connection.
also.
It is more convenient to use. It is less convenient to use.

The mobile app for banking is less Online banking is more secure as it
secure due to unseen loopholes in uses HTTPS secure gateway, which is
coding. difficult to hack.

It gives a full range of access to banking

It provides limited banking functionality.
services to the customer.

It is easily available to everyone having It can be used only by people having

a smartphone and is affordable. desktops or laptops, which are costly.
Home Banking Meaning

Home banking services enable customers to complete banking activities from

the comfort of their homes. Customers no longer need to visit their bank's
physical branch in person. It is especially convenient for customers who have
difficulty traveling to banks' physical premises.

Online banking has created added competition among traditional banks,

lenders, private banks, and other financial institutions. Telephonic banking is
offered through customer care; online banking employs an official website,
and mobile banking requires dedicated banking apps. Cybersecurity is the
biggest hurdle against online banking.

 Home banking refers to the provision of accessing banking services at

home. It comprises multiple platforms and mediums that facilitate
transactions. Customers do not need to visit the bank's physical
branches anymore.

 Online banking makes the process convenient for both the bank and the
customer. With smaller queues at the physical branch, banks need to
expend less operating capital.

 A huge section of the population is technologically challenged; they are

unable to access online banking. Unlike other internet services, banking
is cumbersome due to added security requirements.

Home Banking Explained

Home banking refers to services that customers can access from the comfort
of their homes. Technically, customers can access these banking services
from anywhere in the world as long as they have the internet.

In the last ten to fifteen years, banks have revolutionized themselves in

different fields and services—especially when it comes to digitalization.
Before, people had to visit the branch offices in person. Customers were
forced to wait in a queue, even for simple banking services like withdrawal,
deposit, or account updates. But now, thanks to digital banking services, all
such activities can be done online.

These services go beyond domestic banking; customers can send and receive
funds from all over the world within minutes. Traditional banks have been
forced to evolve; private banks are offering multiple services online.

Home banking simply saves customers’ time, money, and effort. Some users
might be unable to visit the branch due to some reason; even they can utilize
online banking services. Not just online, upon request, a bank officer will visit
the customer's home and offer personal banking services.

The biggest hurdle is getting familiar with technology—many customers do not

understand online banking. Trust is an even bigger issue. Since one can
access banking from anywhere around the world using a mobile, laptop,
computer, or tablet, security becomes that much harder. Users who fail to
safeguard credentials become vulnerable to data theft, security
issues, carding, and account hacking. Just like bank users, fraudsters can
also steal a substantial amount from the safety of their houses.

Home Banking Types

It is further classified into the following types.

1 Online Banking

This method utilizes the internet to provide banking activities; users operate
on the banks’ official websites. Customers can access the website on a
mobile, tablet, laptop, or desktop computer can visit the website. On the
website, users are required to fill in details and log-in information before
initiating a transaction.

Conservative customers often hesitate with online transactions owing to cyber

security and transaction risks. But banks have stringent security protocols to
ensure cyber security. For example, HSBC home banking requires full 128-bit
encryption. Encryption safeguards online transactions.
HSBC Encryption transforms sensitive information into a string of
unrecognizable characters before they are sent over the internet. It helps keep
user information private between the bank's computer system and the user's
Internet browser. HSBC Holdings plc is a British multinational universal bank.
It is Europe’s largest bank.

2 Mobile Banking

Though mobile banking has only been part of internet banking in the last
decade, many banks have introduced mobile apps to offer a more convenient
and customized user interface. Customers are required to install the bank’s
app on their smartphones when they use it for the first time.

The ING Group is a Dutch multinational banking corporation headquartered in

Amsterdam. In 2019, ING bank conducted a survey to determine if customers
are willing to use mobile banking. The survey has a sample size of 15,000
customers from Europe, America, and Australia. The survey found that nearly
70% of respondents in Europe used smart devices to check their balances,
transfer money or pay a bill via the ING home banking app.

3 Telephonic Banking

Those who find the internet challenging can make use of telephone banking.
As the name suggests, the user employs telephonic conversation to handle
their bank accounts. Every bank has a dedicated customer service
department tasked with telephonic services.

But compared to online banking and mobile banking, telephonic banking offers
fewer services. Telephonic banking expends more operating expenses per
transaction.

Advantages and disadvantages

The advantages are as follows:

 Customers can operate banking activities from the comfort of their

homes and need not visit the bank’s physical branch. Home banking
saves account holders’ time and energy.

 It makes the process convenient for both the bank and the customer.
With smaller queues at the physical branch, banks need to expend less
operating capital for the upkeep.

 Also, it is a quintessential step toward paperless banking and digital

transaction.

The disadvantages are as follows:

  Since everything is at customers' fingertips, online theft is that much
easier. With the right credentials and password, fraudsters can easily
hack into customers’ accounts.

 Online banking is easy, but not just for the customers. Online fraudsters
are able to steal substantial amounts from the comfort of their homes.

 Even now, a huge section of society is unfamiliar with the internet—they

cannot take advantage of online banking. Older generations, especially,
are technologically challenged.

 Technology is not entirely foolproof—there are glitches. More

commonly, customers themselves struggle with connectivity issues.
Banks do not control the internet; they have no control over
the infrastructure connecting the customer and the bank's portal.

Virtual Banking

 Definition: The Virtual Banking is the provision of accessing the

banking and related services online without actually going to the bank
branch/office in person. Simply, availing the banking services through
an extensive use of information technology without any requirement
for the physical walk-in premises is called as virtual banking.

 Any financial institution that offers the traditional banking services

online is termed as a virtual bank. Virtual banking enables a
customer to pay bills online, check account details, secure loans,
withdraw and deposit money anytime as per the convenience.

 Some common forms of virtual banking are, ATMs, use of magnetic

ink character recognition code (MICR), Electronic clearing service
scheme, electronic fund transfer scheme, RTGS, computerized
settlement of clearing transactions, centralized fund management
schemes, etc.

 One of the advantages of virtual banking service is that the

transactions can be checked in real time, i.e. as and when the
transactions are made and the customer is not required to wait for
the day or a month to end to check the transaction details. The cost
 incurred in handling the transactions is lower than the traditional form
of banking, and also, it charges low fee comparatively because of
less overhead expenses.

 Also, the response time has increased manifold with the invent of
online banking. The customer can access his account any time round
the clock and indulge in the banking activities as per his
convenience.

What Is an Electronic Payment System?

Simply put, electronic payments allow customers to pay for goods and
services electronically. This is without the use of checks or cash.

Normally e-payment is done via debit cards, credit cards or direct bank
deposits. But there are also other alternative payment methods such as e-
wallets and cryptocurrencies.
So if you’re looking to move your business online and create an online store,
you’ll need to have an eCommerce payment system in place to accept
payments online.

Common Methods of E-Payment

As mentioned above, there are a number of ways to carry out an electronic

payment. Here are some of the more common methods.

1. Credit or Debit Card Payments – When paying by card, an electronic

payment device initiates the online payment transfer. The consumer will
have to fill out their card details and have their transfer cleared by their
bank.
2. Internet Banking – This is done by digitally transferring funds over the
internet from one bank account to another. This method tends to be
used by smaller businesses or freelance workers.
3. Direct Debit – Direct debit transactions transfer funds from a
customer’s account with the help of a third party.
4. E-Wallet – An E-Wallet is a form of prepaid account where the
customer’s account information is stored electronically. This means you
can quickly and seamlessly pay for goods online without having to
constantly fill out your information.
5. Store Credit Card – A store credit card is a card that has a prepaid
monetary value. A more common name for this type of payment is a gift
card.

How Do Electronic Payment Systems Work?

Electronic payment transactions are divided into two types:

1. One-time Vendor Payments – These are commonly used on

eCommerce websites such as Shopify, Amazon and Etsy. A cardholder
will type in the card or banking information when they reach the store’s
checkout page. This information will then be approved by their bank if
the information is correct and they have sufficient funds.
 2. Recurring Customer Vendor Payments – These payments are used
when the cardholder is paying for goods or services on a regular basis.
Instead of entering your details each time, you enter them once and opt-
in for a recurring billing option. This tends to be used for subscription
services, paying for bills or for businesses such as insurance agencies.
To streamline this process, you can automate these recurring billings.
For more insights, check out our post on Automatic Payment Services
for Small Businesses.

Are Electronic Payment Systems Secure?

Credit card fraud is a common crime. That’s why credit card security is so
closely monitored.

Almost every bank and store have built-in security measures that regularly
check that the cardholder is who they say they are.

But as with any online payment method, there are risks involved.

Key Takeaways

Any business that wants to take their goods or services online needs a strong
and secure electronic payment system.

UPI
Unified Payments Interface (UPI) is a real-time payment system developed
by the National Payments Corporation of India (NPCI) to facilitate seamless
and instant money transfers between bank accounts via mobile devices.
Launched in 2016, UPI has transformed digital payments in India with its
simplicity and efficiency.

Key Features of UPI:

1. Real-Time Transfers: Enables immediate money transfer 24/7.
2. User-Friendly: Uses a Virtual Payment Address (VPA), eliminating the
need for bank account details.
3. Interoperability: Works across multiple banks and platforms.
4. Secure Transactions: Features multi-factor authentication, including
PIN protection.
 5. Wide Accessibility: Supports peer-to-peer payments, bill payments,
merchant transactions, and QR code scanning.

Benefits:
 Convenience: Accessible through mobile apps like Google Pay,
PhonePe, and Paytm.
 Cost-Effective: No additional charges for UPI transfers.
 Scalability: Suitable for personal, small business, and large-scale
transactions.

UPI has significantly boosted India's move towards a cashless economy.

While UPI (Unified Payments Interface) has revolutionized digital payments,

it has certain disadvantages and limitations:

Explanation
Disadvantage

UPI transactions require a stable internet connection,

Dependency on
making it inaccessible in low-connectivity areas.
Internet
Despite encryption, users may fall prey to phishing,
Security Concerns frauds, or scams due to lack of awareness.

System outages or server downtimes can delay

Technical Glitches transactions.

Daily transaction limits may restrict high-value transfers.

Transaction Limits
Requires a smartphone with a UPI-enabled app,
Dependency on
excluding those without such devices.
Mobile
Scams involving fake UPI IDs or malicious QR codes are
Potential for Fraud increasing.

Transactions may fail if the recipient's bank server is

Bank Downtime down.

Users unaware of safe practices might share sensitive

Lack of
details like UPI PIN or OTP.
Awareness
 Explanation
Disadvantage

A forgotten or compromised PIN can hinder transactions

Over-Reliance on
or lead to unauthorized access.
PIN
Unlike SMS-based mobile banking, UPI doesn't function
No Offline Mode
without internet access.

Despite these challenges, UPI remains a highly efficient and widely adopted
payment system, with ongoing efforts to enhance security and accessibility.

Cybersecurity for Internet Banking

Internet banking offers convenience but is vulnerable to cyber threats. To
protect users and systems, robust cybersecurity measures are essential.
Here's a detailed overview:

Common Cyber Threats in Internet Banking:

1. Phishing Attacks: Fraudulent emails or messages trick users into
sharing sensitive data like passwords and PINs.
2. Malware: Malicious software that can steal credentials or manipulate
transactions.
3. Man-in-the-Middle Attacks (MitM): Interception of communication
between users and the bank.
4. Keylogging: Software or devices that record keystrokes to capture
login details.
5. Data Breaches: Unauthorized access to sensitive banking data stored
on servers.

Best Practices for Cybersecurity in Internet Banking:

For Users:
1. Use Strong Passwords: Create complex passwords combining letters,
numbers, and special characters; avoid reusing passwords.
2. Enable Two-Factor Authentication (2FA): Adds an extra layer of
security using OTPs or biometric verification.
 3. Update Software Regularly: Keep your operating system, browser,
and antivirus up to date.
4. Avoid Public Wi-Fi: Use secure, private internet connections for online
banking.
5. Beware of Phishing: Do not click on suspicious links or share sensitive
details via email or phone.
6. Monitor Transactions: Regularly review account statements for
unauthorized activity.
7. Log Out Properly: Always log out after completing transactions on
shared devices.

For Banks:
1. Encryption: Implement SSL/TLS protocols to encrypt user data during
transmission.
2. Secure Authentication: Use multi-factor authentication and biometric
systems.
3. Firewalls and Intrusion Detection Systems (IDS): Protect against
unauthorized access.
4. Regular Audits: Conduct vulnerability assessments and penetration
testing.
5. Customer Education: Inform users about cyber threats and safe
practices.
6. Fraud Monitoring Systems: Use AI to detect and prevent suspicious
activities in real time.

Emerging Technologies in Cybersecurity:

 Blockchain: Enhances transparency and security in banking
transactions.
 Artificial Intelligence (AI): Detects anomalies and prevents fraud.
 Biometric Authentication: Fingerprint, voice, or facial recognition for
secure logins.
 Behavioral Analytics: Tracks user behavior to identify and block
unusual activities.

By implementing these practices, both users and banks can minimize risks
and ensure secure internet banking experiences.
Here is a tabular comparison between NEFT (National Electronic Funds
Transfer), RTGS (Real Time Gross Settlement), and IMPS (Immediate
Payment Service):

Feature NEFT RTGS IMPS

National Electronic
Real Time Gross Immediate
Full Form Funds Transfer
Settlement Payment Service
Processes in
batches, settlement
Instant settlement in Instant transfer
Speed may take a few
real-time. 24/7.
hours.

Minimum
₹2,00,000 (for most
Transfer No minimum limit. No minimum limit.
banks).
Limit

₹5,00,000 (varies
Maximum No upper limit
No upper limit by bank).
Transfer (subject to bank
(bank-specific).
Limit policies).
Available 24/7,
24/7 (earlier available including
24/7 (earlier
only during bank weekends and
Availability restricted to bank
hours on business holidays.
working hours).
days).

Deferred net
settlement
(processed in Continuous real-time Instant settlement.
Settlement
batches). settlement for each
Type
transaction.

May involve higher

charges for large Generally low, with
Generally low to nil
transactions (bank- nominal charges
Charges after RBI waiver
dependent). for small
(bank-dependent).
transactions.

Internet banking, Internet banking, Internet banking,

Transaction
mobile banking, mobile banking, mobile banking,
Mode
branch visit. branch visit. UPI apps.
 Feature NEFT RTGS IMPS

Suitable for low-to-

medium value
Best for high-value, Ideal for immediate
transactions
Use Case time-sensitive and small-value
requiring no
transactions. transfers.
urgency.

Takes 2 hours to
Almost instantaneous Instant processing
Processing same day (depends
(real-time (a few seconds to
Time on time of
processing). minutes).
initiation).