Prime Minister Narendra Modi on Monday launched a new digital payment mode – e-RUPI. The digital voucher aims to ensure that government’s monetary benefits directly reach citizens in a ‘leak-proof’ manner.
Under this new payment system, the beneficiaries will get an electronic voucher or coupon that can be used without online banking, payment applications and other traditional payment modes. In a simpler language, e-RUPI, the new digital payment mode, is a QR code or SMS string-based e-voucher.
The e-RUPI payment mode is not related to any app or mobile banking. So anyone with any phone can access these electronic coupons. The user can redeem the SMS voucher at the service provider. The payment to the provider will processed only when the transaction is complete. The prepaid nature of this payment ensures timely payment to the service provider without involvement of any intermediary.
At present, there are 11 public and private sector banks that support this new digital payment mode. State Bank of India, ICICI Bank, HDFC Bank, Punjab National Bank, Axis Bank and Bank of Baroda fully support e-RUPI vouchers. Both issuance and redemption of e-RUPI coupons are available at these banks.