AePS or Aadhar enabled payment system allows financial transactions to account holders based on Aadhaar Authentication. The payment system involves a unique identification number and links all financial and banking services. It will enable individuals to make payments, transfer funds, make cash deposits and withdrawals, and even allows one to make enquiries about one’s bank balance and banking transactions.
Through the Aadhar enabled payment system, aadhar users can make payments on the Point of sales (PoS) and at micro ATMs through their aadhar number and aadhar verification. The payment system is safe and secure for all the users, as it is regulated by the National Payments Corporation of India (NPCI). It aims at promoting the cashless digitized payment systems. However, the Aadhar enabled payment system can be accessed only when one’s bank account is linked with their Aadhar details.
To use the Aadhar enabled payment system, one needs to follow the below-mentioned steps:
- Visit your nearest banking correspondent or a micro-atm.
- Provide required information like aadhar number and the bank name.
- Thereby, choose the transaction you wish to make with the AePS.
- Go for the aadhar verification process through fingerprint and iris scan and finally collect the AePS receipt.
After one activates the AePS through the above mentioned, the payments can be easily made at Point of sales. Thereby, customers are not required to enter the credit or debit card pin; indeed, the payments can be made by entering the aadhar number and the biometric details. To make the AePS one is required to have their aadhar number, fingerprint and the name of the bank and the BIIN or the Bank Issuer’s Identification Number.
The Aadhar enabled payment system provides services such as account balance enquiry, cash deposits and cash withdrawals, to make C2B payments and C2G payments, and allows aadhar to aadhar funds transfer. The payment system is safe, secure, easy and convenient to access. Further, it can be used across various banks and provides account holders easy access to their bank accounts and to the various banking services.
AePS was brought to function with certain objectives. These are listed as follows:
- To bring in financially inclusive measures in the country’s economy.
- To allow an aadhar holder use his aadhar number as an identity to perform basic banking transactions like cash withdrawals and deposits and funds transfer.
- To create a central platform that will link the banking functions to the aadhaar-based-authentication.
- To promote the inter-bank transactions across all the banking transactions.
- To promote digital payments across all banking channels.
- To create aadhar enabled banking services for safe, secure and convenient financial transactions.
Thus, the AePS is a brilliant move by the Government of India, that will add more to the digital initiative that is aimed by the Government. It brings the Indian population a step forward towards the cashless and digital economy. The AePS payment method, when brought to function completely, will strengthen the economy and the potential to go digital within less time. Within no time, this payment system will create a rock-solid foundation for a digital, economic and efficient future.