If you've looked into accepting online payments in Nepal, you've probably come across ConnectIPS. It's different from Khalti and eSewa, and for many types of transactions, it's actually better. Here's everything you need to know.
What is ConnectIPS?
ConnectIPS (Connect Interbank Payment System) is an online payment platform operated by Nepal Clearing House Ltd (NCHL), a company owned by Nepal's major banks and Nepal Rastra Bank (the central bank).
Unlike Khalti and eSewa, which are private wallet companies, ConnectIPS is part of the banking infrastructure. This matters for:
- Trust: Backed by the banks and the central bank
- Limits: Higher transaction limits than wallets
- Coverage: Works with almost every Nepali bank account
How ConnectIPS Works
ConnectIPS enables direct bank-to-bank transfers over the internet. Here's the flow:
- Customer selects ConnectIPS at checkout
- They log in with their connectIPS credentials and pick a bank account they linked when they registered (nobody types an account number at checkout)
- ConnectIPS debits that bank account directly
- You get the payment confirmation in real time
- Settlement to your bank account follows NCHL's batch cycles, typically the same or next day
No wallet balance needed. No top-up required. Just direct bank access.
ConnectIPS vs Khalti/eSewa
| Feature | ConnectIPS | Khalti / eSewa |
|---|---|---|
| Requires wallet | No | Yes |
| Bank account required | Yes | Linked but not required |
| Transaction limit | Higher, set by your bank | Lower, set by the wallet |
| Best for | Large amounts, B2B | Small/everyday purchases |
| Speed | Instant confirmation; settlement on NCHL's batch cycle (same or next day) | Near-instant |
| UX | More steps | Simpler, familiar |
When to Prefer ConnectIPS
High-value transactions: If your average transaction is above NPR 20,000-50,000, ConnectIPS is often preferred by customers because wallet limits can restrict the purchase.
B2B payments: Businesses paying other businesses often prefer bank transfers. ConnectIPS is the digital version of a cheque.
Customers who don't use wallets: A significant portion of Nepal's population has a bank account but doesn't actively use Khalti or eSewa. ConnectIPS captures this segment.
Recurring invoices: For monthly subscription payments or service invoices, ConnectIPS provides a bank-transfer alternative.
Accepting ConnectIPS on Your Website
You have two paths: integrate directly with NCHL today, or wait for PayBridgeNP's ConnectIPS adapter, which is on our roadmap.
Option 1: Direct Integration with NCHL
Apply directly to NCHL for a merchant account. This is a multi-step process:
- Submit application to your bank
- Bank forwards to NCHL
- NCHL review and approval
- API access granted
Timeline: varies by bank; confirm the current schedule with your bank or NCHL.
Option 2: Wait for PayBridgeNP's ConnectIPS adapter (on the roadmap)
PayBridgeNP currently supports eSewa, Khalti, and Fonepay through a single integration, covering the vast majority of digital payment volume in Nepal. ConnectIPS adapter is on our roadmap; if direct bank transfer is critical for your use case, contact us or follow the public roadmap.
ConnectIPS Transaction Limits
Limits are set by each bank and generally run higher than wallet-based providers, which makes ConnectIPS a good fit for high-value goods and services. Check your own bank's ConnectIPS limits for the exact figures, since they vary from bank to bank.
Fees
ConnectIPS charges are typically a small flat amount per transaction rather than a percentage, which makes it cost-effective for large transactions compared to percentage-based wallet fees. The exact figure varies, so confirm the current charges with your bank or NCHL.
Should You Add ConnectIPS to Your Checkout?
Yes, if:
- Your average order value is above NPR 10,000
- You sell to businesses or professionals
- You sell insurance, real estate, vehicles, or high-value goods
- You want maximum payment coverage
It's optional if:
- You only sell low-cost items (under NPR 500)
- Your customers are all young wallet-heavy users
For most serious Nepali e-commerce businesses, ConnectIPS alongside Khalti and eSewa gives you complete market coverage. See the full guide on how to accept online payments in Nepal. PayBridgeNP covers eSewa, Khalti, and Fonepay through a single integration today, with ConnectIPS on the roadmap.