Digital payment system is referred to payment system which allows to do transactions electronically. This includes Bank transfers (RTGS, NEFT etc), Debit/Credit cards, UPI, E-wallets (like paytm, Jio money pockets, pay zapp, airtel money etc) and USSD. Digital payment is not a new payment system but some of us came to know after Indian Govt move towards demonetizing.
With the economy going cashless all these payment system plays an important role. Each of us must be aware of them. We can make and receive payment using any of these. You don’t have to carry huge cash with you, just your smartphone is good to go. Private companies, Banks and recently Govt. too have their e-wallet payment system. We all know about Bank transfers, Card payments so lets see a quick overview of each of other methods.
1. PayTm
Paytm a Noida, India based company was launched in 2010 and is owned by One97 Communications. It was started by offering mobile recharging, adding bill payment and e-commerce. The company received a $575 million investment from Alibaba Group of China and personal investment from Ratan Tata. PayTm enables users to book air tickets and taxis, mobile recharge, and payment of DTH, broadband and electricity bills among others.
You can add upto Rs. 10,000 per month into the wallet and have to submit your KYC documentation to increase this limit.
How to use
1. Setup your account using your email and mobile number.
2. Add money to the wallet using Netbanking, credit/debit cards.
3. You can make payment in a number of ways – use ‘Pay or Send’ option in their app/website, scanning QR code, or just by phone number of other paytm user.
You can pay offline (no internet connectivity) also. Simply use ‘Pay and Send’ option and then scan the QR or bar code of the other user, enter the OTP to authorize payment.
The wallet system is highly secured, using Verisign-certified 128-bit encryption technology. Your payment information is stored in encrypted form.
2. Jio Money
Jio money is owned by Reliance Industries is similar wallet system like PayTm. You can load money and then can make payment to merchants together with receive money from your customers. Jio money also gives cash back and discounts when you make purchases. Currently they are offer 10% off when you shop at reliance fresh stores and many more offers under various categories.
The signup procedure is almost same as others. After the signup you will need to enter your pin. After entering pin, you get options like pay bills and recharges, pay at shop, offers and loyalty and money transfers.
You can load money or use internet banking or you debit/credit card to make payments. Similarly when you receive money you can transfer it to your or any one’s bank account.
3. BHIM
BHIM (Bharat Interface for Money) is a Mobile App developed by National Payments Corporation of India (NPCI), based on the Unified Payment Interface (UPI). It was launched by Narendra Modi, the Prime Minister of India, at a Digi Dhan programme at Talkatora Stadium in New Delhi on 30 December 2016. It has been named after Bhim Rao Ambedkar and is intended to facilitate e-payments directly through banks and as part of the 2016 Indian banknote demonetisation and drive towards cashless transactions.
Salient Features
1. We can transfer money to anyone using his mobile number only. There is no need for his account number or virtual payment address.
2. All payments are done instantly 24×7 directly to your bank account using secured Unified Payment Interface.
3. You can scan QR Code to pay and receive money.
4. This works offline without any internet and even on feature phones.
5. We can check our bank balance anytime.
How to use
Once you download the app on your mobile it will verify you mobile number. You need to register passcode and then it will ask to select your bank from a list. On selecting the bank it will automatically find your bank details linked to your mobile. You will have to create UPI address. If you don’t have one, it will create by verifying you using OTP and your debit card details. Once this is done, it will create your address YOUR-MOBILE-NUMBER@upi. So if you want to receive payment you can just provide your mobile number or you can download the QR code and share with whom you want to receive the money.
Once the above process is done, you are ready to pay and receive money. There are 3 options i. Send, ii. Request and iii. Scan & Pay. If you select Send you need to enter the address of receiver. Using request you can ask for payment using the same address and using the scan and pay you can simply scan the QR code and pay to the receiver.