Financial Literacy - Unit 10: Indian Post Payments Bank

Flashcards on Indian Post Payments Bank and related financial services.

Indian Post Payments Bank (IPPB)

Established on September 1, 2018, under the Department of Post, Ministry of Communication, with 100% stake with the Government of India; aims to provide affordable, reliable, and accessible banking for common people.

Money Transfer Services

Services enabling the transfer of funds from one place to another, including foreign exchange, money orders, and international money transfers.

Money Order

A domestic money transfer facility provided through the post office, mainly used by individuals without standard checking accounts, with a maximum remittance of INR 5,000.

E-Money Order

A web-based, quick money transfer service provided by the Indian post office within India, disbursing money within 24 hours, with transfer limits between INR 1 and INR 5,000.

Instant Money Order (iMO)

Instant online money transfer service offered by the post office, allowing transfers between two resident people in India, ranging from INR 1,000 to INR 50,000.

International Financial System

Software developed for coordinating international remittance services between partner countries, where remittances are paid through the post office’s e-money order service.

Money Transfer Service Scheme

An easy and quick way to transfer personal remittances to beneficiaries in India from abroad; outward remittances from India are not allowed under this scheme.

MO Videsh

An international remittance service provided by the Indian post office to over 65 nations through Partner Banks, facilitating remittances to and from foreign nations.

International Money Transfer Service

A service offered by the Indian post office for receiving money from overseas, allowing Indian families to receive money in Indian Rupees from abroad.

Electronic Clearance Services (ECS)

A scheme offering an alternative method for bulk payment transactions like salary, dividend, or pension payments by government departments, companies, or banks.

ECS Credit

When a credit is made by one bank into another bank account, often used to pay dividends or salaries.

ECS Debit

Usually utilized by utility service providers to collect payments from a higher number of customers on a recurring basis.

MoneyGram

Offers money transfer and financial services globally through retail locations and digital platforms, allowing consumers to send money internationally.

Indian Postal Order (IPO)

Provides a means to transmit and receive small amounts of money by post from any corner of India; useful for RTI payments to central government departments.

Payee

An individual to whom money is to be paid.

Remittance

An amount of money sent as payment.

Standard Checking Account

A basic banking account that can be used for paying bills, writing cheques, and making purchases through a debit card.

Dividend

A cash reward provided by the company to its shareholders.