The last weekend IDFC Bank announced a cashless system based on Aadhaar number. Retailer phones are used for digital payments. It has been named Aadhaar Pay. It has been launched in partnership with NPCI, UIDAI and IDFS Bank. The new system has been rolled out for 100 shopkeepers in the last three days. It uses Aadhaar and UPI for payment.
Meanwhile, SBI has announced that it has adopted Shiki village of Pen Taluka in Maharashtra for testing Aadhaar payments. The shopkeepers of this village have been provided with Android smartphones and fingerprint scanners to promote the cashless system there.
What is Aadhaar Payments?
As we have given you the first discovery in the field of UPI banking. It uses your mobile to identify you and converts the mobile into a debit card so that you can pay from anywhere.
In one sentence, through UPI, you can immediately transfer money without knowing the IMPS payment framework without an account number or IFSC code. You should just know their virtual identity such as Gopal@ICICI (in example), or 1234567890@AXIS (1234567890 use your phone number instead).
Aadhaar is considered to be the assistant infrastructure of UPI. With the help of which there are Aadhaar payments. With its help, after verification of biometric information given in Aadhaar, payment from the account which is link to Aadhaar. This means that in the coming days you will face fingerprint reader instead of POS terminal.
This is how payment will be made
Currently, the system of Aadhaar payments is in the initial phase. SBI has adopted a village in Maharashtra for Aadhaar payments and IDFC has provided these facilities for 100 shopkeepers. This figure is so small that the chances of your arrangement are very low.
As soon as this arrangement is more popular, you will need to do this … first there should be an Aadhaar card. After this, Aadhaar will have to link to the bank account. If you have not already linked, then go to the bank and share the details of Aadhaar. However, many people consider it a violation of privacy. But if you look at the shortcomings and merits of this system, then you would like to be a part of it. After this you will not need anyone else.
The shopkeeper should have a provision of Aadhaar payment. For this, bank account, Android smartphone and fingerprint scanner will be required. The businessman will have to install the Aadhaar payment app in his phone. It is not yet on Google Play, but will be made available in future. Currently, banks are being paid for this arrangement. As it comes in trend, traders will have to pay for it like a POS machine.
To pay in the store, you just have to give your Aadhaar number. This will be followed by scanning of your fingerprint. Now you select Aadhaar -linked bank and then pay will be paid. You do not need to install any app. There should be no wallet nor a special card nearby.
What will happen next …
Hope to make Aadhaar payment become more popular. Especially in small towns and villages, where smartphones and along with the arrangements like wallet or UPI are very low.
