Demonetization led to digitization, since then, there has been a growth in the number of online payment systems, and it is still high. To attain the goal of Digital India, the government has come up with UPI (Unified Payment Interface), BHIM (Bharat Interface for Money), and many other methods of online payments. These are easily accessible from your smartphones and USSD (Unstructured Supplementary Service Data) for basic phones. Aadhaar Pay is another initiation by the government to promote Digital India Initiative, which empowers individuals to create cashless exchanges through fingerprints for biometric confirmation.
The government has presently propelled the Bharat QR Code payment exchange for cashless digital transactions to simplify the businesses’ payments. Several businesses have moved to an online payment system for smooth transactions using debit or credit cards. However, these payment systems have their own drawbacks of owning a card swipe machine and transaction fees.
What is a Bharat QR Code?
QR code or Quick Response code is a 2D code system, which the machine can read easily. It looks like a square made up of many black and white squares and can be read by the smartphones’ camera. This small-sized QR code contains URLs and other important information.
Like every QR code, the Bharat QR code contains its own unique data and a code called P2M (People to Mobile) and standardizes the QR code payment strategy throughout the nation. Various payment networks like Master card, Visa card, American Express, and NPCI have commonly inferred this arrangement. However, different merchants use different QR codes across the country.
Bharat QR code is a more streamlined framework that will decrease technological issues, and individuals will not experience problems like card expiration or card loss. The user’s data and information are kept confidential during the process.
Online payment gateways such as Zaakpay allow QR code-based transactions. For the transaction to be processed, both parties need to have the app installed in their mobile phones, which allows the business to collect the payment from anywhere, thus eliminating the need for card swipe or waiting for an OTP.
Characteristics of Bharat QR Code
Every business is using QR codes for transactions because of its unique features, such as:
- It is interoperable within all banks.
- It is expected to be convenient for those who do not want to go through the whole swiping the card payment system.
- It is cost-effective, as it reduces the cost of the swiping machines and is considered the best alternative for an online payment system.
- Transactions are not based on push notifications and do not need an OTP (One Time Password) for the transaction to process.
- Merchants and consumers can be managed both remotely.
- There is no need to store the transaction receipts, as the app will automatically store the transaction details.
- Payments through QR codes are always safe and secured, as the card details remain under the control of the consumer, and all they need to do is scan and pay.
Parties Included Within the Transaction Framework
When making a payment using the Bharat QR code, the following parties are involved in the entire process:
- Merchant mobile application
- Consumer mobile application
- Transaction processing engine
How to use QR codes for transactions?
If you are a merchant, then you will be required to generate a QR code for your business
through which your customers will pay for the products or services they buy or shop.
The steps to generate QR code for your business includes:
- Make sure you have a bank account
- Link the bank account with BHIM (Bharat Interface for Money) app
- Generate your own unique business QR code from the BHIM app
- Print the code and paste it anywhere in your store, or make it available online, for the customers to pay.
- Finally, after the transaction, you will receive the notification/message once the customer makes the payment.
If you are a customer, then you need to scan the Bharat QR code for making payments to
merchants whose services you buy. The process of using the Bharat QR code for making
payments includes the following steps:
- Download the BHIM app or any other online payment app.
- Register yourself by linking your card details, which is basically a one-time process.
- Go to the option where it says “Scan,” or click on the scanner image in your app.
- Now, scan the Bharat QR code at the store and make the payment.
- After the transaction is processed, you will receive a notification about the transaction.
Benefits Offered by Bharat QR code to Promote the Growth of
- The introduction of QR codes has eliminated the use of POS (Point-Of-Sale) machines, allowing the customers to make the payment using their smartphones at ease.
- The merchant would not have to invest in buying a POS, and the transaction fee is also eliminated. All they need to do is link their bank account with payment gateways like Zaakpay, and generate a QR code, and use that for transactions.
- The amount can be transferred immediately from both ends, thus eliminating the hassle of transferring the amount from wallet to bank.
- The merchants do not have to worry about the monthly transaction limit, as there is no limit to receiving payment.
- As it is a closed-loop with BQR (Bharat QR code), customers can pay using any payment app. This would be a hassle-free experience for your customers, which can boost your business.
In short, the benefits provided by the Bharat QR code are endless for customers and merchants alike. It eliminates the need for having any additional equipment for conducting transactions. All that would be needed is the QR code printed on paper and a smartphone with a scanner. When the payments process becomes hassle-free, your business ought to attract more customers, eventually leading to the growth of your business.
The initiative of Digital India has resulted in a boost in businesses. For being the preferred merchants, you must give your customers payment flexibility, which is only possible with the Bharat QR code. BQR will help your business grow by providing hassle-free and secured payment for you and your customers.