The country's largest bank, SBI, has announced the imposition of charges on online IMPS transfers starting August 15, 2025. Now, transactions from ₹25,001 to ₹5 lakh will be subject to fees according to slabs. Relief will continue for special salary accounts and branch transactions.
New Delhi: The State Bank of India (SBI) has made a significant change for its customers. Starting August 15, 2025, online IMPS, or Instant Money Payment Service, will be subject to fees, which was previously completely free. There will be no charge for transactions up to ₹25,000, while amounts from ₹25,001 to ₹5 lakh will incur charges in different slabs. Customers with special salary accounts will receive relief, and IMPS transactions made from branches will be subject to fees as before.
What is IMPS and Why is it Important?
IMPS is a real-time fund transfer system that allows anyone to transfer money instantly, 24 hours a day, 365 days a year. A maximum of ₹5 lakh can be transferred at once through this service. This service enables people to send their money instantly to any account, regardless of the bank.
Information on the New Charges
SBI has set charges in different slabs for online transactions. The bank stated that these charges will only apply to digital mediums such as Internet Banking, Mobile Banking, and UPI. The charges according to the slabs are as follows:
No charge will be levied for transactions up to ₹25,000.
- For transactions from ₹25,001 to ₹1 lakh, a charge of ₹2 + GST will be levied.
- For transactions from ₹1 lakh to ₹2 lakh, a charge of ₹6 + GST will be levied.
- For transactions from ₹2 lakh to ₹5 lakh, a charge of ₹10 + GST will be levied.
Prior to this change, no charges were applied to all online transactions. Now, a small fee will be added to each slab, making digital transactions applicable for fees.
Relief for Salaried Customers
SBI has provided relief from this fee for some accounts. Customers whose accounts fall under the salary package account category will not have to pay online IMPS fees. This category includes employees of government and private institutions. Special accounts such as DSP, CGSP, PSP, RSP, CSP, SGSP, ICGSP, and SUSP will still not be subject to IMPS fees.
No Change for IMPS Transactions Done from Branches
If customers perform IMPS transfers by visiting an SBI branch, the fees will be applied as before. IMPS transactions made from the branch incur charges starting from ₹2 to ₹20 + GST. This amount depends on the amount being transferred.
What is the Situation in Other Banks?
IMPS charges vary in other banks in the country as well. For example:
- Canara Bank: No charge up to ₹1,000; ₹3 to ₹20 + GST for ₹1,001 to ₹5 lakh.
- PNB (Punjab National Bank): No charge up to ₹1,000; ₹5 to ₹10 + GST for online transactions above ₹1,001.
Thus, SBI's new decision shows a slightly stricter policy compared to other banks in terms of increasing digital banking fees.
Meaning of IMPS Charges
The IMPS charge is the amount that the bank takes to transfer your money instantly to another account through digital means. This fee is determined according to the amount of the transfer, network expenses, digital service maintenance, and transaction processing.
Impact on Digital Banking
This change by SBI may affect digital transactions. To avoid paying fees for their small transactions, customers may limit the amount or look for other free service options. Also, the bank will get additional revenue to improve digital services and improve the network.
