India’s second largest private sector bank has upped the service charge for sending up to Rs.10,000 from Rs.3.50 to Rs.5 with effect from May 15.
Unchanged bracketsThis charge is excluding taxes. The bank has, however, left the service charges for the remaining two slabs – Rs.10,001 to Rs.1 lakh (service charge: Rs.5) and Rs.1,00,001 to Rs.2 lakh (Rs.15) – unchanged.
The IMPS was rolled out by the National Payments Corporation of India in collaboration with member banks in 2010.
It allows customers to make instant, 24x7, interbank payments to individuals, or merchants/enterprises via mobile phone and other channels (Internet or ATM).
They can also receive money through this mechanism from anyone else in a participating bank.
Usually, the transaction volumes in the up to Rs.10,000 slab are very high.
Hence, HDFC Bank will be able to earn more by way of service charges, said a senior banker.
ICICI Bank, India’s largest private sector bank, had raised the IMPS charges for sending up to Rs.10,000 from Rs.2.50 to Rs.5 with effect from February 10.
Source : Thehindubusinessline