IMPS, the real-time payment system, is an excellent alternative to net banking as it lets users transfer money to a person’s bank account quickly. UPI is one of the most powerful payment systems in the world. It is an alternative to IMPS. Within 2 to 3 years of its launch, UPI has become one of India’s most preferred methods of payment. It is easy to use, fast, and reliable.

How different is IMPS from UPI? Which payment technology is better? Below, we’ve compared UPI and IMPS. Find out which service is better for making or receiving payments in India.




UPI applications enable users to create a unique address called “UPI ID”. The UPI ID can have numbers and an alphabet. You can delete UPI IDs and create another one as many times as possible. Although different IDs are linked to the same bank account, there’s no limit on the number of IDs you can create and manage. For example, if you’re using 4 UPI apps, you can create and manage 4 different (or more) IDs. You cannot create/recreate IMPS IDs.

Details verification

While sending payment to a person, the UPI application may automatically fetch the details of the person from the bank’s account and display the same so that you can confirm that the UPI ID you’ve entered is correct. In the case of IMPS, you can choose the IMPS payment method only after entering the bank account details i.e. account number, IFSC code, etc. The banking application will only display the branch name and not the person’s name. Thus, you check the details you’ve entered in the payment form multiple times to ensure that you don’t send the payment to the wrong person.


Soon after the Government of India launched the UPI service, the existing mobile payments applications Paytm and Mobikwik introduced the UPI payment method. Banks integrated the UPI system in their mobile banking applications and introduced dedicated UPI apps. For example, SBI had launched the BHIM application. Indian Overseas Bank has also launched a UPI application.

Banks are not the only organizations that have introduced UPI-powered apps. Leading internet companies such as Flipkart, Amazon, and Google launched UPI mobile applications that let users pay bills, recharge their phone numbers, send/receive money etc. Desktop or phone banking apps support IMPS service. You won’t find dedicated IMPS apps on the Play Store or iTunes.


One of the crucial features of UPI is that you can share the UPI ID with the person from whom you want to collect the payment. The ID is easy to remember, and you can either share it with the traditional copy-paste method or via a QR code. You cannot create and share IMPS addresses.


As the user’s name is displayed before sending the payment via UPI and users very the same before clicking on the send/submit/transfer button, one can assume that UPI is a highly reliable service. For security reasons, banking websites and apps don’t support the copy-paste method of filling out the form. Thus, before choosing the IMPS option and clicking the button on the form for sending money, if you don’t verify the bank account number and mistakenly entered the wrong account number, you’ll have to struggle to get your money bank.

In the case of UPI apps, if you don’t check the person’s name before transferring money, it’s your mistake. Even if you transfer money to the wrong account, you can contact the UPI support team of the application to know the steps you must follow to get your money back.

Transfers and payment requests

IMPS and UPI systems can transfer money instantly to the user’s bank account. When the money has been transferred, the banking or UPI application may display a notification. Banks will send an SMS stating that money has been debited from your bank account, and the receiver will get an SMS stating that money has been credited to the user’s account. With net banking apps, you cannot request payment from people, but you can do so with the UPI applications.


UPI is more popular than IMPS, and it will remain so in the future. The Government of India had announced that it would be possible to withdraw money from ATMs with UPI technology in the future. No special announcement has been made so far for the IMPS systems.

So these are the significant differences between the IMPS and UPI technology and their apps. As you can see above, UPI is a reliable technology and is better than IMPS. IMPS is not a bad technology, but its use has not been diversified.

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