Last Updated: January 21, 2023, 17:21 IST
The Aadhaar Enabled Payment System (AePS) is a bank-led model developed by NPCI, which allows online transactions at Micro ATM/Kiosk/mobile devices through the authorised Business Correspondent (BC) of any bank using Aadhaar authentication.
Business Correspondents are authorised (by banks) entities who represent the bank and who have Micro ATM devices to facilitate customer transactions.
This solution has been designed by NPCI to handle various kinds of service requests effectively by enabling an authentication gateway for all Aadhaar linked account holders.
People having an Aadhaar number linked to a bank account – referred to as an Aadhaar Enabled Bank Account (AEBA) – can utilise the AePS service.
Customers need to have a valid Aadhaar number through which they can set up an AEBA with an authorised bank and enjoy the AePS service suite.
What is Aadhaar Enabled Payment System?
AEPS is a bank led model which allows online interoperable financial transactions at PoS (Point of Sale / Micro ATM) through the Business Correspondent (BC)/Bank Mitra of any bank using the Aadhaar authentication.
-Aadhaar to Aadhaar funds transfer
-Payment Transactions (C2B, C2G Transactions)
What does a customer require to do an AePS transaction?
– Aadhaar Number
– Bank Name
– Biometric captured during their enrollment
– Transaction Type (If needed)
It allows the customer to have doorstep banking and do basic banking transactions without the need to visit any bank branch, carry cards or remember PIN/passwords.
Among other benefits, it facilitates merchant transactions by allowing the merchant to accept the Aadhaar number/Virtual ID and biometrics of the customer for the purchase of goods and services through Aadhaar based biometric authentication.
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