Benefits of e-RUPI & How its revolutionizing Digital Transactions
- Posted on Aug 19, 2021
- By Sparsh Shreya
In these digital times, everything is online and payments are by cashless methods. Our esteemed Prime Minister Narendra Modi launched the e-RUPI digital payment solution on 02 August 2021. It is an initiative by the National Corporation of India in collaboration with the department of financial services, health ministry, and the National Health Authority. This is a QR Code or SMS string-based e-voucher with the idea of contactless and cashless transactions. It is based on UPI systems. The users who post the one-payment system can redeem the voucher. This is possible even without a card, smartphone, internet banking access, or others.
The government attempts to promote liquidity in the economy. Usually, the funds sent in accounts either don’t get used and are wasted. Or if used then it is for some other purposes and not for what it is meant. The centralization that e-RUPI offers benefits in multiple ways that can benefit the ever-changing economy functioning. The voucher is specific to the person who receives it. Also, it has a particular purpose mostly for health-related payments. For instance, if the voucher is for vaccination, then it can only be used for that and nothing else.
The idea behind the Covid vaccination voucher is to ramp the Indian vaccination drive. It helps to easily book a slot as compared to people trying it through other mediums. With the pandemic times and limited covid slots available each day it acted as a very powerful voucher to increase awareness. Also, it encourages individuals to get vaccines. Other services such as financial, welfare through equal access are also provided by them. You can consider these vouchers as prepaid gift cards that you can redeem. The code is shared by QR Scan or SMS.
It aims at bridging the gap among the unbanked population. The concept of mingling digitalization, transactions, and people is inspiring. An attempt that will have a lasting impact and benefit in coming years too.
What does the prime minster have to say about the initiative And why should we citizens be aware of it?
As mentioned by the P.M it plays a major role in giving a new dimension to digital governance. It makes DBT more effective in digital transactions. It is a symbol of linking people’s lives with technology and the inter-connectivity of both. This offers targeted, efficient, and leakage-free delivery from one to another end. It has the potential to bring a revolution and a new outlook into digital payment platforms. Thus, attempted to bring an electronic e-voucher system convention in India. There are multiple assets and benefit of e-Rupi.
It is helpful in governmental and corporate organizations. This will be issued by the entities to the employees restricting direct cash-out or inter-personal transfer. Thus, allowing only purchase from merchant outlets. Both of these can generate e-RUPI vouchers via their partner banks. Since it is an end-to-end digital transaction not requiring any physical issuance i.e a card or voucher it helps in cost reduction too. They can also track the voucher redemption which makes it more trustable. This provides more transparency to the company without much hassle.
At present e-RUPI works with a few of the banks. It includes State Bank of India, HDFC Bank, Axis Bank, Punjab National Bank, Bank of Baroda, Canara Bank, IndusInd Bank, and ICICI Bank of the eleven live banks as per NPCI. However, it is planning to add more client banks. InfrasoftTech caters to the installation, and assistance of the e-RUPI technology stack to banks. The benefit of e-Rupi is it undertakes all the processes involved. From integration with existing systems to deployment processes.
The benefit of e-RUPI and this methodology can transform our everyday hassles!
The payment method has many benefits involved. It reflects on its adequacy as a payment platform. One, it removes the need for physical interaction. It digitally replaces it with a safe and communicative connection between the sponsor of services and the receiving party. Also, once the payment is done the service provider immediately gets the money without any trouble. Since it is a prepaid voucher, users who have access to it simply need to tap and pay. No need for cards, net or phone banking, and others. The private sectors are in great benefit from this. As they can avail these vouchers as an opportunity to leverage them to employees under welfare programs.
Even PayTM, GPay provides digital payment platforms however, at times there are glitches that we experience. It is frustrating especially since it involves money. But it will happen. Since it is an app and e-RUPI is not. The benefit of e-RUPI is that it provides you better competency and efficiency while being cashless in its functioning. As it is not associated with any particular application or mobile banking. Thus, anybody with a mobile can use it independently and as per their whim.
- Posted on Aug 19, 2021
- By Sparsh Shreya
- 0 Comments