The way people transfer funds now are remarkably different to how it used to transfer funds even 10 years back. From cash and cheque transfers to internet banking, the ways to transfer money online have completely changed. With most consumers shifting to smartphones, transferring money using a bank money transfer app has become extremely simple.
There are a few different ways to transfer money using apps:
• Mobile banking
• UPI money transfer app
• Wallet based online money transfer apps
Mobile banking provides the same benefits as internet banking. It is possible to use NEFT, RTGS and IMPS for transfers through mobile banking. With the introduction of UPI or Unified Payments Interface, it is possible to transfer funds just using a UPI id without any need for bank account details.
There are also wallet-based apps which can be used to make transfers to another wallet or directly to a bank account or credit card.
Using a bank to bank money transfer app has several advantages over using other methods of fund transfer.
Here are 5 advantages of transferring money via apps:
1. Instant transfers:
With modes like NEFT or RTGS, there is a lag between the time payments are made and the time they are credited into the bank account of the recipient. With an online money transfer app, payments are made instantly.
Using a bank money transfer app is extremely simple. Making a fund transfer through these apps is simple and easy even for beginners. These apps have clean interfaces with big buttons to indicate fund transfers. There is no need to visit a bank or even log in to your internet banking account to make the transfer. Since most of these apps use the recipient’s phone number or a virtual payment address, entering these details into the app is also hassle free.
3. Low cost:
The biggest advantage of using a money transfer app is the low cost associated with transfers. UPI transfers are completely free of cost. NEFT, IMPS and RTGS have a minimal cost depending on the amount transferred. Transfers made between wallets are also free of cost. However, withdrawing funds from such wallets may be charged.
There is no fear of theft or loss of cash or cheque while transferring funds. Using apps to transfer funds is secure since most apps request a verification. UPI requires a code to verify the transaction. IMPS require a mobile identifier code. NEFT and RTGS transactions done through mobile banking require an OTP. This way, bank to bank money transfer app include inbuilt security procedures to ensure safety.
Transferring funds using apps is advantageous because of the offers that these apps have for their users. For example, there may be cashbacks and discounts while using apps to make payments.