Which payment system will get the credit for saving you on your bills?
The government is planning to introduce a new payment system that would allow citizens to pay for their daily needs online and reduce their bank bills, the government has said.
The Government Payment System (GPSS) would allow customers to pay by debit card or credit card on their phones and on their own online.
Under the scheme, a card would be required for all transactions.
There would also be a requirement for customers to enter their Aadhaar number in order to access the system.
“As per the data of all our customers, this has reduced their bill by Rs 1,600-2,000 in the first six months of operation,” said an official in the Finance Ministry.
According to the official, the new system will be introduced on November 1.
The government has also asked banks to issue new Aadhaar-based debit cards to all its payment customers.
The new card would have a fixed fee of Rs 2,500 per month, with each card having a maximum charge of Rs 1.50.
In addition, the Government Payment Systems (GPPS) will have a debit card, which will be used to make payments on the bank’s network.
The GPPS is expected to cost around Rs 1 lakh, and a customer’s bank account number would also need to be entered in the app.
The official said that it was also possible for a customer to pay on the GPPS directly with a credit card, but that the new card had to be issued with Aadhaar number.
“If there is no Aadhaar number, it will be charged at the ATM (automated teller machine) rate,” he said.
According the official that the GPSS would be implemented from November 1, the bank will have to send all customers a copy of the new payment card.
The Finance Ministry said that the government would soon begin accepting payment in new cards, as the rollout was being implemented in a phased manner.
However, the official said it was not possible to give any details of the payment card or its validity till the GPP system is rolled out nationwide.