After BHIM app, here's BharatQR code: 5 Things you must know
- BharatQR is yet another payments method to push digital payments in India.
- It implements QR code scanning for payments.
- It facilitates both Aadhaar as well as Unified Payments Interface (UPI) based payments.
FollowWhat is QRCode?
Firstly, you need to understand what's a QRcode or Quick Response code. It is a matrix of black and white bars, essentially a label that can be read by a machine. It's popular in consumer market. For instance, the two-dimensional barcode that usually has all the information of that particular product.
What is BharatQR?
BharatQR is a QR code jointly developed by National Payments Corporation of India (NPCI), MasterCard, Visa, RuPay and American Express. It will serve as a common interface for the card networks alongside facilitating Aadhaar-enabled as well as Unified Payments Interface (UPI) based payments.
Who can use BharatQR code and why?
Anyone with a QR scanning app, be it UPI-based or Aadhaar based, can use it for transactions. So, you need the bank app that is compatible with BharatQR code. The customer can use simply scan this code to make the payment. Yes, scan and enter the transaction amount. There is no need to key in any details. It serves as a alternative to physical point-of-sale (PoS) infrastructure.
On merchant side, as the government pushes for digital India, it will help small vendors with digital payments who cannot afford a POS machine. With the deeper penetration of phones, this could help drive government's pet project.
How to use it?
BharatQR codes can be divided into two types namely, static and dynamic. The static QR code will need users to scan the code and enter the amount on your phone. It will have to be authorised with a PIN and then the amount will be debited.
Dynamic QR code will require the merchant to generate a new QR code for every transaction. With the code generated each time, you don't need to enter the amount manually, simply add the pin for the transaction.
Banks supporting BharatQR?
BharatQR code support Visa, MasterCard, RuPay and American Express cards. It currently has 24 bands onboard. Each bank has multiple apps, but the BharatQR code can be used with select apps. For instance, ICICI users can use it with Pockets or the ICICI Mobile banking app. It works on both Android and iOS platforms. Some of the major banks include SBI, HDFC Bank, ICICI and Axis Bank.
