#aeps solution

Fin-AEPS is an online immediate payment solution that workflow with the AEPS Software of NPCI. It helps proceedings from one Aadhaar linked account to another based on Aadhaar number. For more details visit our website now.

These days, technology such as Aadhaar enabled payment software has made it easier for people to make their payments and conduct other important transactions online.

These days, technology such as Aadhaar enabled payment software has made it easier for people to make their payments and conduct other important transactions online. This is however reflective of the entire ecosystem of such payments in India as such. Reports done by the top global advisories are saying that at present the market for digital payments in India is thriving and growing at a compound annual growth rate of 12.7%.

Mobile Payment Revolution

These reports have made it clear that India right now is witnessing a revolution of sorts in the domain of mobile payments. This has also meant that an increasing number of businesses are now adopting such technology as well.

It was estimated that in 2016-17 fiscal there were 1.5 million locations across India where such payments were accepted. It can be assumed that technology such as the AEPS solution has played a major role in such growth.

Increase In The Number Of Merchants Who Are Now Accepting Digital Payment

These reports have also stated that in the last 2 to 3 years the number of merchants who are accepting digital payments has increased. It has now crossed the 10 million mark!

What Are The Experts Saying?

They are saying that the technology in this regard has improved a lot and this includes the likes of AEPS software as well. It is such an evolution that has convinced the businesses that this technology can be used to a greater extent.

The Global Predictions

It is estimated that by 2026 the global market for such payments would hit the 10.07 trillion-dollar mark. It is expected that in India the market would grow at a CAGR of almost 52.2% in the period from 2019 to 2023.

Creating A Cycle Of Convenience

It helps that it does not cost you a lot of money to set up wallet acceptance points that run on QR (quick response) code technology. This is one more factor that has convinced so many such merchants.

Since they are adopting such technology like Aadhaar enabled payment system it has become a lot easier for the buyers as well. This, in turn, has created a system where everybody feels comfortable. This has been good for the ecosystem as well.

The Wallet Players

These reports are quite clear about the fact that the mobile wallet players have played a major role in this transformation. They have made sure that more people in India are now using these mobile payment systems. It is easy to make payments by using these wallets.      

Technology such as Aadhaar enabled payment software is available everywhere. It is these convenient factors that have contributed to the immense popularity enjoyed by such technology.  

UPI Real-Time Payments

UPI (unified payments interface)-based payments done on a real-time basis have a significant role to play in this regard as well. This is something that has been mentioned in these reports as well. Between 2016-17 and 2018-19 the UPI payments have seen a rise at a CAGR of 246%.  

What Are The Contributing Factors In This Regard?

It is factors such as inter-operability that has led so many people to adopt the likes of the AEPS solution. It also needs to be mentioned in this context that the fact that such technology can be used on different platforms such as mobile wallets have made it a lot popular as well. These factors are leading to its growth.

Conclusion

  Aadhaar Enabled Payment System, in short, AEPS, is a new service introduced to make payments. It is a new initiative, mainly offered by the National Payments Corporation, India.

Aadhaar Enabled Payment System, in short, AEPS, is a new service introduced to make payments. It is a new initiative, mainly offered by the National Payments Corporation, India, to the leading financial institutions and the banks, with the usage of 'Aadhaar ID'. Aadhaar Identification means a unique number that is issued by the Unique Identification Authority of India(UIDAI). Customers can access such a facility of service Accessed points(CSP'S) by using the Point of Sales(POS) devices and instruments.

This service authorizes a bank customer to use Aadhaar ID as one's identity to avail to one's respective Aadhaar capacitated and enabled bank account to perform primary Intra and interbank transactions. It includes services like-Balance Enquiry, Deposition of cash, withdrawal of cash, and other remittances.

For all sorts of transactions, be it interbank or intrabank, a transaction slip is printed and given to the customer as a record of the transaction.

For all the Aadhaar capacitated financial or payment transactions, be it inter or intra-bank, a business correspondent asks for the Aadhaar ID number of the customers, and scans the fingerprint of the customer by using a biometric scanner. A transaction turns out to be successful, only when the Aadhaar authentication becomes successful.

Aadhaar Enabled Payment software also focuses on the electrification of the retail payments and transactions of the Reserve Bank of India. This system would also capacitate the banks and the financial institutions to route the interbank payments and transactions initiated through Aadhaar by using a central switching agency. This service would also facilitate the disbursal of government offerings like-old age pensions, social security pensions, etc., by using the Aadhaar ID proof. Lastly, this system even facilitates smooth interoperability across the various financial institutions and the banks safely and securely.

Once this system gets successfully implemented, then it will lessen the dependence on cash, and it will also reduce the expenses and costs for transactions. After this system gets enabled, various other systems like-micro credit, micro insurance, micro pensions, etc., can also get implemented.

So in simple words, the Aadhaar Enabled Payment System is a comprehensive system, which capacitates merchant payments, i.e., it enables a merchant to accept payments from their customers, which are made through their linked Aadhaar bank accounts.

Features of this system:

a) It is easy to use: Payments can be made in an instant mode, by using the Aadhaar pay application.

b) Flexible procedure: It uses standard quality devices like-fingerprint scanners.

c) Convenient to use: It capacitates customers to make hassle-free payments, without the usage of any PIN or passwords.

d) Safe and Secure: Proper security is ensured in the entire system, to prevent any fraudulent activities or any theft.

Advantages for both-Merchants and the Banks:

i) In the case of merchants -

A lesser amount of investment is required; ability to offer rewards for the customers; instant payments can be made through this system

ii) In the case of Banks -

Alternate methods of payment, interoperability function, integration of partner's bank existing financial inclusion gateway, hosted services based on Aadhaar enabled payment system platform.

This system simplifies the payment method using the digital method by using just only the Aadhaar ID number to get the credentials that are already registered in UIDAI.

This system even enables any financial institution or bank to show its high scalability potential, as this system facilitates instant onboarding payments using the Aadhaar linked bank account.

Recently as per a report, it is also noted that banks have an intention to introduce Aadhaar payment bridge solution(APBS), alongside AEPS software or AEPS solution. 

Aadhaar Enabled Payment System, in short, AEPS, is a new service introduced to make payments. It is a new initiative, mainly offered by the National Payments Corporation, India, to the leading financial institutions and the banks, with the usage of 'Aadhaar ID'. Aadhaar Identification means a unique number that is issued by the Unique Identification Authority of India(UIDAI). Customers can access such a facility of service Accessed points(CSP'S) by using the Point of Sales(POS) devices and instruments.

This service authorizes a bank customer to use Aadhaar ID as one's identity to avail to one's respective Aadhaar capacitated and enabled bank account to perform primary Intra and interbank transactions. It includes services like-Balance Enquiry, Deposition of cash, withdrawal of cash, and other remittances.

For all sorts of transactions, be it interbank or intrabank, a transaction slip is printed and given to the customer as a record of the transaction.

For all the Aadhaar capacitated financial or payment transactions, be it inter or intra-bank, a business correspondent asks for the Aadhaar ID number of the customers, and scans the fingerprint of the customer by using a biometric scanner. A transaction turns out to be successful, only when the Aadhaar authentication becomes successful.

Aadhaar Enabled Payment software also focuses on the electrification of the retail payments and transactions of the Reserve Bank of India. This system would also capacitate the banks and the financial institutions to route the interbank payments and transactions initiated through Aadhaar by using a central switching agency. This service would also facilitate the disbursal of government offerings like-old age pensions, social security pensions, etc., by using the Aadhaar ID proof. Lastly, this system even facilitates smooth interoperability across the various financial institutions and the banks safely and securely.

Once this system gets successfully implemented, then it will lessen the dependence on cash, and it will also reduce the expenses and costs for transactions. After this system gets enabled, various other systems like-micro credit, micro insurance, micro pensions, etc., can also get implemented.

So in simple words, the Aadhaar Enabled Payment System is a comprehensive system, which capacitates merchant payments, i.e., it enables a merchant to accept payments from their customers, which are made through their linked Aadhaar bank accounts.

Features of this system:

a) It is easy to use: Payments can be made in an instant mode, by using the Aadhaar pay application.

b) Flexible procedure: It uses standard quality devices like-fingerprint scanners.

c) Convenient to use: It capacitates customers to make hassle-free payments, without the usage of any PIN or passwords.

d) Safe and Secure: Proper security is ensured in the entire system, to prevent any fraudulent activities or any theft.

Advantages for both-Merchants and the Banks:

i) In the case of merchants -

A lesser amount of investment is required; ability to offer rewards for the customers; instant payments can be made through this system

ii) In the case of Banks -

Alternate methods of payment, interoperability function, integration of partner's bank existing financial inclusion gateway, hosted services based on Aadhaar enabled payment system platform.

This system simplifies the payment method using the digital method by using just only the Aadhaar ID number to get the credentials that are already registered in UIDAI.

This system even enables any financial institution or bank to show its high scalability potential, as this system facilitates instant onboarding payments using the Aadhaar linked bank account.

Recently as per a report, it is also noted that banks have an intention to introduce Aadhaar payment bridge solution(APBS), alongside AEPS software or AEPS solution.