Just after the ban of Rs 500 and Rs 1000 currency notes in India, the Indian Government is pushing people to make cashless transactions. People also started going cashless. And why not? The cashless economy will be better than now. It is more secure, and the other significant advantage is nobody can stall taxes and keep the black money. So, in this article, we are going to talk about 6 Cashless Payment Methods to transfer money digitally without cash which is helping people to make a cashless economy in India.
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6 Cashless Payment Methods in India
Most of the popular, secure and best digital payment mediums are Bharat QR code, digital wallets, UPI apps, Plastic money, net banking and aadhar card. Below we have described these 6 types of cashless payments mediums that are helping much to transfer money digitally.
The full form of UPI is Unified Payment System. To use this system to send or receive money digitally, you just do have a smartphone and your bank account. There are lots of UPI apps available. Some of the best UPI apps are SBI Pay, BHIM, HDFC bank’s app, ICICI Pockets, PNB UPI, United UPI, Canara UPI, Axis Pay, PhonePe, Lotza, TranZapp, etc. That means, most of the Indian banks have their UPI app. Just link your bank account with the appropriate bank’s UPI app and start transacting money anytime, anywhere, using just a mobile phone.
I think you are more familiar with digital wallets. These days, digital wallets are growing very fast in India. People are also enjoying these. Today’s best digital wallet providers are Paytm, FreeCharge, Mobikwik, JioMoney, etc. You can also avail extra cashback and discounts if you use these digital wallets to shop on online e-commerce websites like Snapdeal, Flipkart, etc. You have to add money to your wallet from your bank account, and you can use it freely. However, there are some limits on the maximum add money and withdraw limit. But overall, these digital e-wallets are fantastic. You can also send money to retailers and shopkeepers by just scanning their specific QR codes, and there are lots of shops and retailers started accepting Paytm after the currency ban.
Plastic Money (Cards)
I think you are wondering what are Plastic Money. Is it made of plastic? NO, you are also very familiar with Plastic money. Plastic money calls debit and credit cards. These are a traditional way to make cashless payments. You can shop online and order food online using your debit and credit cards. For offline payment in shopping malls and stores, you have to swipe your card in POS (Point Of Sale) machines like MOPAD PoS. However, if you withdraw money from ATMs and use real money to spend, then it will not be an entirely cashless transaction. To use these cards, you just need your name, card number, expiry date and CVV number. That’s enough to make transactions in a few seconds without cash.
This is also similar to the previous method. But it is also another traditional way to make cashless payments. It’s very simple. You just need a bank account which is enabled for net banking or internet banking, a registered mobile number for OTP and a username & password. Most of the time, we use it to pay online. But you can also pay the amount by just entering the receiver’s bank account number, name and IFSC code. Just log in to your net banking account by entering the correct username and password, enter the amount and receiver’s details and send money. However, at the time of paying online, even you don’t need to enter the amount.
Bharat QR Code
It is the newest way to transfer money digitally. Recently, the Indian Government has launched this new medium of cashless payments. Using this, you just need to scan the Bharat QR code of the receiver and then enter the amount and send money. However, in the dynamic Bharat QR code, even you don’t need to get into the amount. The significant advantage of this is you can transfer between every bank and e-wallet too. That means it made a bridge between all banks and digital wallets. The good news is for retailers because from now; they don’t need to spend money on buying Point Of Sale (POS) machines to accept payments from their customers.
Aadhar Card Enabled Payment System
Using this cashless payment method, either you can make payment by providing your aadhar card number or by scanning your fingerprint which is also known as biometric verification. To use the aadhar card-based payment system, you need to link your aadhar card with your existing bank account. The receiver can use micro ATMs to accept the payment from you. You can use masked Aadhar to keep your details private when using it.
These were the 6 Best Cashless Payment Methods for transferring money digitally. I hope these ways will help people make a cashless economy in India soon. As of now, you can share your views in the comment box below.