For our day-to-day purchases, we prefer to pay by cash because it’s secure and convenient. But, what if we need to send money to a loved one instantly who is living far from us or need to buy something but have not enough cash? Similarly, what if you’re at a place where your currency notes are not accepted or you spent all of your money extravagantly on a trip. A quite different scenario can also arise where your nation may announce demonetization of current currency notes, which currently happened in India (Indian government has announced the abolition of Rs. 1000 and 500 notes to deal with counterfeit notes menace), but you need money to fulfill your daily requirements.
If you mess up with any of the above scenarios or in other then don’t panic! There are a number of alternative non-cash payment methods available to get some buying done without paying in cash. In this tutorial, we have come up with five different payment methods to complete your purchases. Read on to know different methods of payments available to pay for your purchases without paying in cash.
5 Different Types of Non-Cash Payment Methods
1. Pay by Cheque
2. Electronic Fund Transfer (EFT)
Transfer Funds Using NEFT, RGTS, or IMPS
(a) Immediate Payment Service (IMPS):
- Anyone can use IMPS facility; if his/her bank provides.
- This service is available 24*7 including holidays and weekends.
- No charges to be levied from beneficiaries.
- You can transfer up to Rs. 50,000 per day.
- It is a real-time electronic payment method; which means receiver gets money within a few minutes or instantly.
- Swipe your ATM-cum-debit card
- Select mobile registration, you will be asked to enter your ATM PIN, just enter it to proceed.
- Select SMS/Secure/IMPS and then enter your mobile number.
- Subsequently press/tap on confirm.
- You will receive 7 digits MMID number on your registered mobile number.
- Mobile Number
- Mobile Money Identifier (MMID): Number issued (usually 7 digits) by the bank upon registration of mobile banking or the like you received upon mobile banking registration.
(b) National Electronic Fund Transfer System
- There are no inward transaction charges.
- You can send up to 10 lacs.
- Receiver details required
- You would need beneficiary name, account number along with bank name, and IFSC code of his bank branch.
(c) Real Time Gross Settlement System (RTGS)
- Minimum transfer limit is 2 lacs
- There are no upper cap limits
- This facility is available on all business working days except Sundays and holidays. (may vary)