Demonetisation has ushered in faster adoption of technology to facilitate quicker execution of digital transactions.
Payment apps are gaining increasing popularity. You can conduct any number of financial transactions using financial payment apps which utilizes different payments mechanism. If you use these apps smartly, you can not only to transfer and receive payments electronically but also earn interest, avail cash discounts, reward points, and cash back offers.
S. Sundararajan, Executive Director, i-exceed says that post demonetisation, there has been a sharp rise in the number of offerings that cater to peer-to-peer payments, merchant payments, and bill payments. Now, consumers can choose from mobile banking apps, payment wallets, the government promoted BHIM, bank-specific UPI apps and private player UPI apps like Tez, PhonePe, etc.
"Demonetisation has also ushered in faster adoption of changes in the infrastructure technology to facilitate quicker and smoother execution of these transactions. Initiatives such as UPI, BharatQR, BBPS, and AEPS are facilitating standardisation of payment services and improving the interoperability across financial entities," he says.
Here are the 5 major financial payment apps that you can download/use on your mobile
BHIM app: This app’s mechanism is based on unified payment interface (UPI). It primarily allows you to receive and send money to or from virtual payment address. Unlike e-wallets, it does not hold money. It is simply a transfer payment mechanism where one can make transfer of payments through their several bank accounts. BHIM acts as an intermediary between the banks where one can make payments 24*7 including weekends and bank holidays. The app is backed by the government of India and is a secure and reliable option. One can easily link one’s bank account directly without taking prior approvals from respective bank.
Payments bank: Through payments banks, one can not only transfer money but can also make deposits for up to Rs 1 lakh and earn interest on it. Currently, Airtel Payments Bank is giving 7.25% on deposits, Paytm Payments Bank is giving 4%, India Post Payments Bank is giving 5.5% and FINO payment bank is giving 4% interest.
Various bank apps: All scheduled commercial banks have their own financial apps. These apps also use the medium of UPI to make the transfer of payments. These apps are a rapid and robust option for making payments.
E-Wallets: These are easy and convenient ways of making payments even to small merchants can be done using e-wallets. Holding money in e-wallets may not give you interest on your savings but it can give you several cashback offers, discount coupons from time to time while you make any transfer of payments or buy anything from e-commerce websites.USSD Code: Making use of USSD (Unstructured Supplementary Service Data) code helps you transfer funds from one bank to another without using an internet connection. This methodology of making payments can be accessed even through a simple featured phone.