Three ways to transfer funds through your mobile

Through these modes, you can transfer money to a person’s account, with or without account details 

While fund transfer through mobile banking is not an entirely new concept, it hasn’t become a part of our banking needs the way online banking has. So what is it that stops you? One reason could be lack of awareness and another could be the perceived challenging technology which really is not so challenging. We give you three simple ways to transfer your funds through your mobile. Through these modes, you can transfer money to a person’s account, with or without the account details, and even pay utility and other bills

Word of caution: While any kind of fund transfer, including paying bills, has to comply with two-factor authentication, make sure you are extra careful when transacting with your cellphone. Always lock your mobile phone with a security password, so that even if you lose your phone, you have one more layer of security. Never save your mobile banking details on your mobile phone. Also never disclose you password to anyone.

1. Sending money through an SMS

Getting started: To start with, you will have to get yourself registered for mobile banking by linking your mobile number with your savings account. You can do this by either visiting your bank branch or through a bank ATM.
The bank will ask you to fill a form and submit it with a photo identity. Once you submit the form with your identity proof, you will get a kit which will have your mobile money identifier (MMID) number, a seven-digit code, and mobile personal identification number (mPIN).
The kit is similar to what you get for your debit card. Here, MMID number acts like the debit card, except it is a virtual number, and mPIN is your password. It takes couple of hours to a few days for the mobile banking facility to get activated depending from bank to bank.

Sending to an account: Compose an SMS and type IMPS (Interbank Mobile Payment Service) followed by the receiver’s account number, Indian Financial System Code (IFSC) and the amount you want to send. Once you confirm this, you would get a message wherein you would have to enter your mPIN. Press the okay button and the transaction would take place immediately. You will be informed about the transaction through an SMS from the bank.

Sending to a person directly: If the person whom you are sending money is not comfortable with revealing his account details, you can still transfer money through an SMS. While the procedure remains the same, the only difference being that instead of entering the account details and IFSC code, you would need to enter the receiver’s MMID.

Paying bills: You can even pay for your utility and other bills through SMS. For instance, if you want to pay your systematic investment plan amount for mutual fund, you will have to type IMPS followed by the merchant mobile mobile number, merchant MMID, the amount you want to send, your mPIN to bank’s number. The bank number will be advertised and informed on the merchant website.
On initiating transaction as above, customer receives the confirmation SMS with status of transaction shortly. The SMS facility can be used on all types of phones.

2. Sending money through an app

Getting started: This is for the more tech savvy. Here after linking your savings account with your mobile phone and doing the rest, you would need to download an app on your phone. These apps are specific for banks and you can find them on their websites. For instance, State Bank of India has SBI Freedom, ICICI Bank Ltd has iMobile, Axis Bank Ltd offers Axis Mobile.

Sending to an account: Let’s understand through an example. If you are an ICICI bank Ltd customer, you can download ICICI’s iMobile app on your phone. Once you activate the app, you will get a menu where you will find the IMPS option. Enter the receiver’s account number and IFSC code. Once you confirm the details, the money gets transferred instantly.

Sending to a person directly: Again the procedure remains the same: you just need to enter the mobile number and the receiver’s MMID number, instead of her account details, followed by the amount.

Paying bills: Here after you select IMPS you will get an option IMPS merchant fund transfer. Once you select this option, you will have to enter merchant mobile number, MMID, amount and mPIN. After confirm the detail, the transaction will go through.

3. Sending money by dialling a number

Getting started: While you can’t download an app if you don’t have a smart phone, you can still transfer funds and you won’t even need an Internet connection for that. According to a study conducted by research firm Nielsen, India has only 27 million smartphone users among at least 900 million cellphone users.

Here you have to dial *99# on you mobile phone. This is an unstructured supplementary service data (USSD) facility that will take you to the National Unified USSD Platform for mobile banking. It will ask for your seven-digit MMID number and will eventually lead you to the IMPS option. There you will have to select fund transfer, enter the receiver’s phone and MMID numbers. Next, enter the amount and feed in your mPIN to complete the process.

You will get a message confirming the process has been successful along with a 12-digit reference number. This number will also be sent to the receiver.