The government is. After demonetisation, Government is keen to promote digital transactions in rural areas and is, therefore, pushing AadhaarPay. Aadhaar Pay, a merchant version of the Aadhaar-enabled payment system will allow you to make cashless payments by use of fingerprints. This Aadhaar number-enabled device will help to make financial transactions easy through mobile phones to convert the country into a cashless economy. Now people will be able to make payments using their Aadhaar cards. At present, SBI, and some other banks have already gone live on Aadhaar Pay. This post will tell you how to pay using Aadhaar card.
How To Pay Using Aadhaar Card ?
AEPS in its initial form : AEPS (Aadhaar Enabled Payment System) in its basic form is a machine known as micro ATM. This machine is similar to POS machines that accept credit/debit cards. The only difference is that instead of any card you need to authenticate your payments using your bio metrics (usually fingerprint).
How does AEPS machine work? : A merchant who needs to accept payment will enter the aadhaar number and the amount in the machine using the touch interface provided. The customer then needs to authenticate the payment using his/her fingerprint. The amount will be deducted from a bank account that is linked to customers aadhaar number and credited to the merchants bank account.
Aadhaar Pay Merchant App (AEPS recently introduced) : A merchant will have a smartphone with a finger print scanner connected to it via an application. You will have to place your finger on that scanner to pay using aadhaar. Your bank , which is already linked to your aadhaar number will be debited with the amount you pay to the shopkeeper.
Aadhaar Pay Merchant App – How it works? : UIDAI has introduced the much awaited Aadhaar Pay Merchant App. Using this aadhaar payment app, merchants can accept payments which will be cashless, cardless and pinless.
To accept payments, merchants needs to register on the app using the aadhaar number. The registration needs to be authorised using the fingerprint of the merchant. Now to accept any payment from the customer, the merchant needs to enter the customer details which include customer aadhar number, customer bank name, and amount to be paid by the customer.
An option to continue or to reject the payment will be provided. Once choosen to proceed, the payment needs to be authorised using the customer’s finger print. After successful authentication, the amount will be transfered from the customer’s aadhaar linked bank account to merchant’s aadhaar linked bank account.