How to step-wise download, use BHIM app for cashless transactions
By
Sunil Dhawan
, ECONOMICTIMES.COM|
Updated: Jan 04, 2017, 11.27 AM IST
BHIM APP
Want to send money or receive it on your mobile? What one needs in such a case is just the 'Payment Address', and not bank details such as account number, IFSC code, etc.
No
registration of the payee is required and neither is there any time restriction to send or receive funds. That's how the Bharat Interface for Money (BHIM) app, or for that matter any
Unified Payment Interface or UPI-based platform, works.
For starters, here's a rundown on how to transfer money through the
BHIM app.
BHIM app users need to remember three things. First, the passcode, then the Payment Address and last, the UPI personal identification number (PIN). So let's see how to create each one of them so that sending, receiving money through the BHIM app becomes a habit in this rapidly moving cashless world.
Essentials
You need to have a bank account with your mobile number registered with the bank. Thereafter, download the BHIM app from Google
Play Store on your
Androidphone. Currently, it's available only on version 4.1.1 and above. There could be several BHIM apps available on Play Store, but the one from National Payments Corporation of India (NPCI) of less than 2 MB is the authentic one.
Step I: Passcode
Once you click on the downloaded BHIM app, you will be asked to create a passcode. It works only as an access code and keeps individuals, including friends, colleagues, and family members, away from accidentally accessing it. Remember it.
Payment Address
Your Payment Address will be your mobile number@UPI, and this is what you need to share with others to receive money from them. You can also create a custom Payment Address in addition to your phone number, for example, yourname@UPI.
Step II: Primary linked account
Thereafter, of the 30-plus banks currently offering this service, you will be asked to select one which you want to link to BHIM. But what if you have more than one bank account? Currently, BHIM supports linking of one account only. But you can change the account in a few seconds if you wish to and use it as your primary account.
Let's say, you select ABC Bank. The moment you select it, the next page shows you the last four digits of the bank account number and the IFSC code. It confirms that your account is linked. This will be your primary linked account.
Step III: Creation of UPI PIN
The PIN will be required to know your account balance and for transferring and receiving funds. It can be created by clicking on 'Bank Accounts'. You can set your PIN by going to the home page, then Main Menu-Bank Accounts-Set UPI-PIN for the selected account.
You will be prompted to enter the last 6 digits of your Debit/ATM card along with the
expiry date. Nothing else needs to be shared online. You will then receive a One-time Password (OTP), which you will enter and set your UPI PIN. Do not use the MPIN provided by your bank for mobile banking. A fresh PIN needs to be created to use BHIM.
BHIM's home page
Once you have logged on to the BHIM app using the passcode, your home page will show you three buttons:
*Transactions: Clicking on it will show transactions made by you in the past and any pending transactions.
*Profile: Clicking on it will show your Payment Address, i.e., mobile number@UPI
*Bank account: Clicking on it will show the primary linked account or the default account. Here, you can get to know the account balance, but not the last transactions, at least as of now.
Actual transactions
You are now good to go and can start receiving or transferring funds using the BHIM app. While sending and receiving funds is simpler, it can be tricky if you have more than one account. Say, your friend has to transfer some money to your account. You just have to tell him your Payment Address, i.e., mobile number@UPI. If you have the virtual payment address (VPA), you can also use it while routing transactions through BHIM.
Once your friend sends you the funds, it will land up into the primary linked account. But if you wish to receive them in another account, you will have to log on to BHIM and change your primary linked account. Currently, the transaction limits are: Maximum Rs 10,000 per transaction and Rs 20,000 within 24 hours.
Watch-outs
All the information exchange happens over secure banking networks, and as per the BHIM app disclosures, it doesn't store any information. However, if you happen to lose your phone and also the debit card, the
risk exists as the UPI PIN can not only be created, but funds can also be transferred. The trail of transaction can still be accessed and investigated after raising complaint with the bank. When the mobile is doubling up as your wallet, it's better to treat it with similar safety.
Conclusion
Unless your friends or others have created their own Payment Address, sending or receiving money, i.e., usage of BHIM app, will be restricted. Cashless transactions though the app is directly from your bank account and, therefore, very different from
e-wallets as you don't have to
load them with money. And neither have they given you any cash backs similar to e-wallets. Still, if you want to transact cashless with no-frills attached, the BHIM app could be the way forward.
http://economictimes.indiatimes.com/wealth/spend/how-to-step-wise-download-use-bhim-app-for-cashless-transactions/articleshow/56326231.cms
