The full form of IMT is Instant Money Transfer

Instant transfers (also frequently referred to as instant payments or real-time payments) help address this customer need. As the name aptly implies, instant transfers enable consumers to make payments instantly. Unlike traditional transfers that typically move money within a few days, instant transfers send and receive funds in a matter of seconds.

Traditional money transfers are processed in batches. When banks process transfers in batches, they process all of their transactions in large groupings at specific times throughout the day (designated by the individual bank), regardless of what time the transfer was initiated. Instant transfers, on the other hand, are processed in real-time. When a customer initiates a payment, the bank processes that transaction as it comes through their system — allowing the funds to be available in real-time.

Although same-day deliveries have met increased customer expectations and provide an alternative option for customers to take advantage of, they didn’t eliminate traditional deliveries. Again, this same logic can be applied to the payments landscape. Over the past decade or so, instant transfers have continued to gain both popularity and traction, but they haven’t eliminated traditional tried-and-true transfers. In order to understand instant transfers and the key characteristics that appeal to both banks and customers, we must first understand traditional transfer types.