Live Digital eRupee P2M transaction (Select users)

[VISHESH_BANSAL]

Thanks for clarifying as i was only aware that Bharat QR code needs current account for settlement.
Things are changing day by day.

GSTIN still not mandatory upto a Certain turnover
So every Small merchant can not give GST number.
So that is why Banks Provide BharatQR to small Merchants with Savings Account top

And now Banks like indus already providing Zero Balance Current Accounts with Bharat QR system and without Requirements of GSTIN.
Such Current Accounts are Called Individual Current Accounts

Bharat QR just need Promotion at Merchant end as well as consumer end

 

[Rkr]

GSTIN still not mandatory upto a Certain turnover
So every Small merchant can not give GST number.
So that is why Banks Provide BharatQR to small Merchants with Savings Account

And now Banks like indus already providing Zero Balance Current Accounts with Bharat QR system.

Bharat QR just need Promotion both at Merchant ends and consumer end

Kuch toh sikha aaj maine..😀😀🙂🙂

 

[sv004]

UPI failures are also common.
Due to UPI, I do not carry hard cash only few notes of small denomination.

Once I paid at metro station which is far away from my home for Samosa which I already ate.
Txn goes in pending state and Seller is like Bhartan done ke liye tyaar ho ja munna🤣

Phir kya thha second payment got Successful and after reaching home pending also becomes successful.

Now Digital Rupee works on Block chain technology.
So Possibility of pending txn is zero

Either real-time success or failed which is another benift

So basically what they want is that load of transaction to be shifted to bank servers rather than npci servers. These same servers banks use for imps and neft transactions so this will reduce burden on gov.

 

[Rkr]

So basically what they want is that load of transaction to be shifted to bank servers rather than npci servers. These same servers banks use for imps and neft transactions so this will reduce burden on gov.

Donot worry technology moved from 256/512 MBs to Gibytes/Terabytes today.
So with demand everything shifts in smooth way.
Every Bank has their own ERupee app so load distributes from NPCI to different banks.

 

[VISHESH_BANSAL]

So basically what they want is that load of transaction to be shifted to bank servers rather than npci servers. These same servers banks use for imps and neft transactions so this will reduce burden on gov.

In UPI/IMPS also Bank and NPCI both are involved.

For NEFT/RTGS, settlement is Backed by RBI

AIM of Digital Rupee is not to reduce NPCI Load.
AIM is something Big which I do not know exactly and would get cleared when it will be opened for all users and People starts using it

As of now only a Handful of Customers have access of it and Merchant Accepting Digital Rupee is also seen rarely.

 

[Abhishek012]

Bharat QR just need Promotion at Merchant end as well as consumer end

LOL, the whole purpose of promoting UPI is to reduce the dependency on Visa/Mastercard network.

Bharat QR is the merger of all card network QR but they operate individually.

If you use Bharat QR and if US govt impose sanction in India, your Bharat QR will stop working because you still use Visa/mastercard network. Another thing is that Visa/Mastercard network still earn money from Indian banks and Indian merchants. We will continue losing our foreign reserve and more depend on Visa/mastercard.

Apart from this, the govt will give some exemption for small businesses through UPI network. Visa/mastercard don't care about small merchants.

One more thing we big cities people's don't understand, 1200+ banks available in India and only very few like approx 100 banks issue Visa/mastercard.

Other 1100+ banks depend on UPI. These small acquirer banks help small town/village merchants/shopkeepers to register for UPI Merchant QR and accept payments through UPI (currently, approx 450 banks join UPI but soon all Indian banks will join UPI).

Dnt forget our 70% India's population live in villages, only RuPay and UPI available there. All 1100+ banks dnt have any directly or indirectly partnership with Visa/mastercard.

Before finish, i remembered one more thing. If you start promoting Bharat QR then how can we promote UPI to other countries ? Other countries will say Visa/mastercard still dominate in Indian market through Bharat QR. They will say UPI can't beat Visa/mastercard. So, they will not adopt our India's UPI.

Dnt forget, Bharat QR like merger of all card network QR system already exist in other countries. Ohh, I remembered one more thing, well Bharat QR like merger of all card network QR system already exist in other countries but they (European/Asian countries merchants) still use POS machines. So, it means merger of all card network QR system is still not the best prefer payment mode.

 

[VISHESH_BANSAL]

LOL, the whole purpose of promoting UPI is to reduce the dependency on Visa/Mastercard network.

Bharat QR is the merger of all card network QR but they operate individually.

If you use Bharat QR and if US govt impose sanction in India, your Bharat QR will stop working because you still use Visa/mastercard network. Another thing is that Visa/Mastercard network still earn money from Indian banks and Indian merchants. We will continue losing our foreign reserve and more depend on Visa/mastercard.

Apart from this, the govt will give some exemption for small businesses through UPI network. Visa/mastercard don't care about small merchants.

One more thing we big cities people's don't understand, 1200+ banks available in India and only very few like approx 100 banks issue Visa/mastercard.

Other 1100+ banks depend on UPI. These small acquirer banks help small town/village merchants/shopkeepers to register for UPI Merchant QR and accept payments through UPI (currently, approx 450 banks join UPI but soon all Indian banks will join UPI).

Dnt forget our 70% India's population live in villages, only RuPay and UPI available there. All 1100+ banks dnt have any directly or indirectly partnership with Visa/mastercard.

Before finish, i remembered one more thing. If you start promoting Bharat QR then how can we promote UPI to other countries ? Other countries will say Visa/mastercard still dominate in Indian market through Bharat QR. They will say UPI can't beat Visa/mastercard. So, they will not adopt our India's UPI.

Dnt forget, Bharat QR like merger of all card network QR system already exist in other countries. Ohh, I remembered one more thing, well Bharat QR like merger of all card network QR system already exist in other countries but they (European/Asian countries merchants) still use POS machines. So, it means merger of all card network QR system is still not the best prefer payment mode.

Bharat QR also Accepts UPI payments.
It is customer chocie to pay via which mode.
So Bharat QR will not kill UPI.

Customer get multiple Options and Merchant gets less or zero maintenance fee Card Payments Acceptence system

POS Machine maintenance cost is High and Hence Small merchants avoid it even if they are ready to bear MDR

 

[Abhishek012]

So basically what they want is that load of transaction to be shifted to bank servers rather than npci servers. These same servers banks use for imps and neft transactions so this will reduce burden on gov.

Digital eRupee is good for International trade like buying OIl, Defence purchases etc through digital eRupee.

RBI already announce Digital eRupee QR also interoperable with UPI QR and i think Digital eRupee will also link with UPI and RuPay card in future like Chinese digital eYuan/eRenminbi link with China's UnionPay card.

NPCI already running 3 different servers from different locations to handle UPI transactions, If one server goes down, another server will take over.

 

[Abhishek012]

Bharat QR also Accepts UPI payments.
It is customer chocie to pay via which mode.
So Bharat QR will not kill UPI.

Customer get multiple Options and Merchant gets less maintenance fee Card Payments Acceptence system

No, customer will always choose card network to earn cashback/rewards and small merchants will not get exemption for small transactions under Rs2000.

Don't think from the side of the customer. Think side of the merchant and govt.

If we promotes Bharat QR then UPI will fail. I repeat, dnt forget the whole purpose of promoting UPI is to reduce the dependency on Visa/Mastercard network.

If you want competition, multiple options then say we want UPI like more Indian payment system. RBI is already working on different types of payment systems but it is not known when they will come.

 

[VISHESH_BANSAL]

No, customer will always choose card network to earn cashback/rewards and small merchants will not get exemption for small transactions under Rs2000.

Don't think from the side of the customer. Think side of the merchant and govt.

If we promotes Bharat QR then UPI will fail. I repeat, dnt forget the whole purpose of promoting UPI is to reduce the dependency on Visa/Mastercard network.

If you want competition, multiple options then say we want UPI like more Indian payment system. RBI is already working on different types of payment systems but it is not known when they will come.

But now UPI is already a Big Success.

So now No harm in Promoting BharatQR

Whoever will use Cards on Bharat QR already Know UPI exists and now Digita Rupee also exists

As you said earlier if US govt impose sanction in India then still we can use Rupay card and UPI on Bharat QR and sooner or later Digital Rupee will also become Popular because when I showed my family Memebers digital Notes on my Indus E Rupee App, they are excited to use it in nearby shops Similiarly everyone is exicited to use the digital notes alteast once and this once will become ek baar aaur ek baar aaur....

 

[Rkr]

But now UPI is already a Big Success.

So now No harm in Promoting BharatQR

Whoever will use Cards on Bharat QR already Know UPI exists and now Digita Rupee also exists

As you said earlier if US govt impose sanction in India then still we can use Rupay card and UPI on Bharat QR and sooner or later Digital Rupee will also become Popular because when I showed my family Memebers digital Notes on my Indus E Rupee App, they are excited to use it in nearby shops Similiarly everyone is exicited to use the digital notes alteast once and this once will become ek baar aaur ek baar aaur....

Yes, Correct.

 

[thanix]

No, customer will always choose card network to earn cashback/rewards and small merchants will not get exemption for small transactions under Rs2000.

Don't think from the side of the customer. Think side of the merchant and govt.

Does merchant not have the ability to configure in Bharat QR to accept only UPI and disable cards?? They have options in POS to disable card networks. Small merchants may not be savvy enough to do setting but I think this should be possible.

Unrelated to this, for UPI, at least the front end is still dominated by non Indian companies, I think. Hope this too changes soon.

And government subsidised the UPI at least P2M to small value?? Probably best is to earn some money in future but control and money stays within India.

 

[Tejo]

There is no harm in charging below 1% from big Merchants and between 0.1 to 0.25 % from local shops/vendors.
Completely eliminate the physical issuance of cards and allow MC/VISA also on UPI.

Banks are spending in huge in printing the cards and in logistics for dispatching(Like HDFC Rupay digital Card is Completely digital card no physical issuance).If Cards are removed then there is no need for POS machines which comes with maintenance cost for using POS.If everything becomes fully digital then bank saves the money from card printing and dispatching,Then the same savings must be shared netween Banks and merchant and Card network provider like Rupay/MC/VISA.

Note- Views are my personal opinion.

Eliminating cards is not that easy.

*we can't do upi transactions without mobile phone. Payment failure due to server load big issue and Banks are not interested in updating their servers even though rbi given guidelines.

Upi is free but still we use cards even though cards are chargeable.

Cards provides various offers, rewards especially credit cards.

Don't think of rewards on upi platform because its already big head for Banks.

E-₹ is by RBI, Banks are not interested in rbi advises So, Rbi made e-rupee and made govt. Agreed, saying notes cost will be reduced ......

Also e-rupi voucher has limit.

 

[Rkr]

Eliminating cards is not that easy.

*we can't do upi transactions without mobile phone. Payment failure due to server load big issue and Banks are not interested in updating their servers even though rbi given guidelines.

Upi is free but still we use cards even though cards are chargeable.

Cards provides various offers, rewards especially credit cards.

Don't think of rewards on upi platform because its already big head for Banks.

E-₹ is by RBI, Banks are not interested in rbi advises So, Rbi made e-rupee and made govt. Agreed, saying notes cost will be reduced ......

Also e-rupi voucher has limit.

Agreed on most of your points but on few like.
What will happen when VISA/MC are allowed on upi then totally plastic cards become obselete..There is no harm in advancing and adopting new technologies.
Coming to E-rupee ,its right now going through pilot stage and as and when required changes will be made as per feedback recieved.

Banks are bound to follow guidelines given by RBI..

 

[Abhishek012]

Eliminating cards is not that easy.

*we can't do upi transactions without mobile phone. Payment failure due to server load big issue and Banks are not interested in updating their servers even though rbi given guidelines.

Upi is free but still we use cards even though cards are chargeable.

Cards provides various offers, rewards especially credit cards.

Don't think of rewards on upi platform because its already big head for Banks.

E-₹ is by RBI, Banks are not interested in rbi advises So, Rbi made e-rupee and made govt. Agreed, saying notes cost will be reduced ......

Also e-rupi voucher has limit.

UPI is not free, Credit card link UPI charge MDR.

People need to understand, there is 2 types of UPI exist, just like we have debit card and credit card,

Similarly, debit UPI and credit UPI exist.

Debit UPI is free and link with our bank accounts

Credit UPI is link with our credit card and charge MDR. However, Credit UPI is not fully live yet. Soon, MDR will impose to all Credit UPI network.

Credit UPI will also offer rewards and UPI spend based offer.

For example here HDFC bank UPI spend based offer -

One more thing, when MDR charge was imposed on Debit UPI network, Kotak bank offer 10% cashback offer on festival season on Amazon/Flipkart spend.

I hope in future banks will offer 10% cashback on Amazon/Flipkart purchases through Credit Card link UPI spends.

 

[Tejo]

UPI is not free, Credit card link UPI charge MDR.

People need to understand, there is 2 types of UPI exist, just like we have debit card and credit card,

Similarly, debit UPI and credit UPI exist.

Debit UPI is free and link with our bank accounts

Credit UPI is link with our credit card and charge MDR. However, Credit UPI is not fully live yet. Soon, MDR will impose to all Credit UPI network.

Credit UPI will also offer rewards and UPI spend based offer.

For example here HDFC bank UPI spend based offer -

One more thing, when MDR charge was imposed on Debit UPI network, Kotak bank offer 10% cashback offer on festival season on Amazon/Flipkart spend.

I hope in future banks will offer 10% cashback on Amazon/Flipkart purchases through Credit Card link UPI spends.

I was talking about upi related to bank ac.
Not credit card upi.

I was replying a person where he questioned "why need of cards ... plastic cards as upi is there now, even e-rupee"

The page about e-rupee(prepaid money), so I did want to involve credit cards or credit lines.

Also you should note the fee on credit cards, is paid by merchants (leave wallet, other wanted credited transfer). But the merchants of the India(local vendors), just charge extra. Even several places amex cards are not accepted due to the charges.

Also the credit card upi was developed by banks when rbi said to upgrade core systems as the payments failing.

Banks smartly said it will be cost for us and can't develop, then banks said we will develop upi on credit cards as they can charge on cc upi payments.

They are several other reasons too for developing upi on credit cards.

 

[Abhishek012]

I was talking about upi related to bank ac.
Not credit card upi.

I was replying a person where he questioned "why need of cards ... plastic cards as upi is there now, even e-rupee"

The page about e-rupee(prepaid money), so I did want to involve credit cards or credit lines.

Also you should note the fee on credit cards, is paid by merchants (leave wallet, other wanted credited transfer). But the merchants of the India(local vendors), just charge extra. Even several places amex cards are not accepted due to the charges.

Also the credit card upi was developed by banks when rbi said to upgrade core systems as the payments failing.

Banks smartly said it will be cost for us and can't develop, then banks said we will develop upi on credit cards as they can charge on cc upi payments.

They are several other reasons too for developing upi on credit cards.

Approx 5 years ago, NPCI's shareholders SBI, HDFC and ICICI bank had said that plastic credit cards would be phased out in the next 15 years. Later the same thing was said by IndusInd Bank.

Bank account link 'Debit UPI' will soon charge MDR but it is possible that small merchants will get exemption under 2k transactions. Govt is also planning to charge 0.3% MDR for 'Debit UPI' transactions.

Govt may consider 0.3% fee to maintain UPI payment system & ensure financial viability: IIT Bombay study

The study, which analyses the impact of the decision of the National Payments Corporation of India (NPCI) to introduce interchange fee on payments through mobile wallets, argued that the payments received by merchants should remain 'unpolluted' whether they are from UPI directly or through...

m.economictimes.com

RBI also planning for 'National Card Switch to process card transactions at PoS terminals'

RBI's next plan to kill Visa/Mastercard - "National Card Switch to process card transactions at PoS terminals"

RBI's next plan to kill Visa/Mastercard - "National Card Switch to process card transactions at PoS terminals" This could promote competition, thereby bringing in more efficiency and innovation in the processing of such transactions The Reserve Bank of India’s ‘Payments Vision 2025’ document...

www.technofino.in

GOI and RBI have made a complete plan to end the dominance of Visa/Mastercard from India.

Some people say here who will use digital e-rupee ?

But what if I say that your question is wrong. Your question should not be who will use the digital e-rupee. Your question should be how many Indians will use digital e-rupee. RBI has already started working with online payment gateways to accept digital eRupee on online e-com website.

Infibeam Avenues becomes first payments platform to process retail CBDC transactions

Infibeam Avenues recently received the Payment Aggregator license from RBI, followed by a perpetual license to operate as Bharat Bill Payment Operating Unit

www.thehindubusinessline.com

If 5% to 10% population of India will use digital e-Rupee then it will be a big success.

 

[jack333]

Approx 5 years ago, NPCI's shareholders SBI, HDFC and ICICI bank had said that plastic credit cards would be phased out in the next 15 years. Later the same thing was said by IndusInd Bank.

Bank account link 'Debit UPI' will soon charge MDR but it is possible that small merchants will get exemption under 2k transactions. Govt is also planning to charge 0.3% MDR for 'Debit UPI' transactions.

Govt may consider 0.3% fee to maintain UPI payment system & ensure financial viability: IIT Bombay study

The study, which analyses the impact of the decision of the National Payments Corporation of India (NPCI) to introduce interchange fee on payments through mobile wallets, argued that the payments received by merchants should remain 'unpolluted' whether they are from UPI directly or through...

m.economictimes.com

RBI also planning for 'National Card Switch to process card transactions at PoS terminals'

RBI's next plan to kill Visa/Mastercard - "National Card Switch to process card transactions at PoS terminals"

RBI's next plan to kill Visa/Mastercard - "National Card Switch to process card transactions at PoS terminals" This could promote competition, thereby bringing in more efficiency and innovation in the processing of such transactions The Reserve Bank of India’s ‘Payments Vision 2025’ document...

www.technofino.in

GOI and RBI have made a complete plan to end the dominance of Visa/Mastercard from India.

Some people say here who will use digital e-rupee ?

But what if I say that your question is wrong. Your question should not be who will use the digital e-rupee. Your question should be how many Indians will use digital e-rupee. RBI has already started working with online payment gateways to accept digital eRupee on online e-com website.

Infibeam Avenues becomes first payments platform to process retail CBDC transactions

Infibeam Avenues recently received the Payment Aggregator license from RBI, followed by a perpetual license to operate as Bharat Bill Payment Operating Unit

www.thehindubusinessline.com

If 5% to 10% population of India will use digital e-Rupee then it will be a big success.

I think they'll give discount soon to encourage people for erupee like rupay card offers

 

[Sonic Investor]

I still don't see what added advantage is there for this unless the intermediaries like banks are eliminated for transactions & storage.

If they allow direct P2P transfers like cash in electronic form then there might be some use case.

Secure storage of eCash is also something for which clarity is needed.

Can e-Rupee be paid to a vendor via UPI directly?

 

[Rkr]

I still don't see what added advantage is there for this unless the intermediaries like banks are eliminated for transactions & storage.

If they allow direct P2P transfers like cash in electronic form then there might be some use case.

Secure storage of eCash is also something for which clarity is needed.

Can e-Rupee be paid to a vendor via UPI directly?

You have not got the concept yet .
How is UPI functioning and what is eRupee ?
Upi-medium of payment through account.
eRupee-Legal tender as like physical notes.