In India, several payment systems are available to facilitate transactions and financial services. Here are some of the prominent payment systems used by banks:

  1. National Electronic Funds Transfer (NEFT): NEFT is a nation-wide payment system that enables individuals, firms, and corporates to electronically transfer funds from one bank account to another. NEFT transactions are settled in batches at specific time intervals throughout the day.
  2. Real-Time Gross Settlement (RTGS): RTGS is a real-time fund transfer system where transactions are processed individually and settled on a real-time basis. It is primarily used for high-value interbank transfers. RTGS operates on a gross basis, meaning each transaction is settled individually, without netting.
  3. Immediate Payment Service (IMPS): IMPS is an instant interbank electronic funds transfer system that allows customers to transfer funds 24/7, including weekends and holidays. It enables person-to-person, person-to-account, and account-to-person transfers using mobile phones, internet banking, or ATMs.
  4. Unified Payments Interface (UPI): UPI is a real-time payment system that facilitates instant fund transfers between bank accounts using smartphones. It allows users to link multiple bank accounts to a single mobile application and enables various transactions like peer-to-peer payments, bill payments, and merchant payments.
  5. Bharat Bill Payment System (BBPS): BBPS is a centralized bill payment system that enables customers to pay their bills, such as electricity, water, gas, and telecom, through various channels like banks, wallets, and online platforms. It provides a convenient and interoperable platform for bill payments.
  6. Aadhaar Enabled Payment System (AePS): AePS leverages the Aadhaar biometric authentication system to facilitate banking transactions. It allows customers to access basic banking services like cash withdrawals, deposits, balance inquiries, and funds transfers using their Aadhaar number and biometric authentication.
  7. National Electronic Toll Collection (NETC): NETC is an interoperable system for electronic toll collection on national highways. It enables users to pay toll charges without stopping at toll plazas using prepaid RFID tags linked to their bank accounts or wallets.
  8. Mobile Wallets: Various banks and non-bank entities offer mobile wallet services in India. Mobile wallets allow users to store funds digitally and make payments for a wide range of goods and services, including online and offline merchant transactions.

These payment systems play a crucial role in facilitating secure and convenient transactions for individuals and businesses in India. Each system has its own features, transaction limits, and accessibility, providing users with multiple options for their payment needs.