BHIM app users may get massive cash back starting Independence Day.
Bharat Interface for Money (BHIM) is an initiative to enable fast, secure, reliable cashless payments through your mobile phone. BHIM App is interoperable with other Unified Payment Interface (UPI) applications, and bank accounts. It is developed by the National Payment Corporation of India (NPCI). The App is made in India and dedicated to the service of the nation.
The new App is expected to minimize the role of plastic cards and point of sale machines. The app will eliminate fee payments for service providers like MasterCard and Visa, which has been a stumbling block to people switching to digital payments, Merchants know very well they are charging 2% for each transaction & Rs 400 for Swiping machine rent. It’s really costly for Small shops & merchants.
Currently, BHIM Users are getting Cash Back of Rs 10 to Rs 25 max. On the other hand, wallets like Paytm and MobiKwik are providing larger offers and cash back to attract more customers.
As starting this Independence Day, National Payments Corporation of India (NPCI) will introduce massive cash back and offers for BHIM App users. NPCI operates and manages with BHIM App.
BHIM Users will get now Actual Cash Back:
As per NPCI MD and CEO A.P. Hota said, “We have communicated to the government that the cash back incentives need to be increased so that more people will start using it. We are waiting for the approval from the government which is expected by August 15.”
Currently, cash incentive offered by BHIM App is for a referral, for example (If Person A refers BHIM App to person B, then person A will get Rs 10 and, person B will get Rs 25.)
QR Code to be Executed:
QR Code is one of the most popular and preferred methods to pay money on Paytm.
AP Hota also informed that, “A new QR code based payment mechanism would be rolled out in the BHIM App, which will make it, even more, easier for the app users to transfer money”.
The Updated version of BHIM App will release on August 15 2017 and will be powered by QR Code platform and new cash back offers.
AP Hota also said that “We are in the final stage of launching app version 1.4, which will make the transaction smoother. BHIM App QR code will be integrated into the app which should be another booster for increasing transaction on the app.
As per RBI data, Usage of e-Wallets is decreasing compared to UPI and this is a good news for NPCI.
Uber, WhatsApp, Hike, along with IRCTC has already adopted UPI based payment platform, and several other brands will likely to select for UPI, as the process to transfer money is much simpler, and easy.