After Rastriya Banijya Bank and Agriculture Development Bank got involved with IPS System, there turned out to be a huge fuss regarding stepping forward move in the banking industry. On a simple note, IPS stands for Interbank Payment System. This service allows a customer to deposit the amount in some other bank from a different bank. However, Connect IPS is more than this.
What is Connect IPS?
Connect IPS is an online payment system platform where customers can directly get involved and work out for payment processing, fund transfer, bills payments through the web or mobile app. It is the product of Nepal Clearing House Limited. This e-payment gateway is approved and permitted by Nepal Rastra Bank.
How is Connect IPS different than other payment gateways?
There are other well-recognized e-payment gateways like Esewa and Khalti which is doing good over the market. There are similarities regarding features over top-ups, booking flight tickets, bank deposits and other similar features. However, Connect IPS are something different from them. You don’t have to load fund here. After connecting with the bank account, you can make a direct payment. No hassles of loading funds.
What keeps Connect IPS far away is it’s a distinct feature of Government Revenue payment – be that for Inland Revenue Department, Lok Sewa or any other. With the involvement of brokers, Connect IPS have also this different feature for the stock market. Stockbroker payment can easily be done through Connect IPS, so for anyone involving in the capital market – connect IPS is a very easy tool. These capital market players can also make payment of MeroShare fee, DEMAT fee or Bonus Tax using Connect IPS.
Weaknesses in Connect IPS
There are fewer merchants in Connect IPS in comparison to Esewa or Khalti. Unlike the previously established payment gateways, Connect IPS does not have merchant payment services as they lag regarding merchant be that hotel payment or other spaces.
Unlike Esewa or Khalti, the registration process is not easy. One can easily open up an account in IPS Connect, but that does not end there. The user has to print a few pages of declaration, sign and submit it to the concerned bank to get linked. Probably, because it is because of its initial days, Connect IPS has offered Rs 100 for linking up to the account thereby.
The target audience of Connect IPS seems to be way different and seems to be focusing on bigger clients than smaller ones. As a result, daily utility payment is not yet the primary focus of Connect IPS.
Features of Connect IPS
Almost every bank and Financial Institutions are not involved in Connect IPS. Through NHCL-ECC and NHCL-IPS more than 1 crore amount of transactions.
Multiple Account Tie-Up:
Users can tie up more than one account and make transactions easily through their several bank accounts.
Safety and Security:
All transactions are done from the bank account itself and the transactions are all carried out from the encrypted form. There are international practices over security adopted with ISO 27001 certification.
Unlike other payment gateways, Connect IPS is cheaper in regards to fund transfer or other utility payment services.
There are a lot of improvements and upgrades that Connect IPS has to move ahead with. But, it seems that this payment service will come up with a new move bringing huge changes over payment practices, promoting a cashless economy and with a new era in digital banking practices.