Skip to content
National Payments Corporation of India – NPCI
- National Payments Corporation of India (NPCI) is an umbrella organization for all retail payments system in India.
- It is under the provisions of the Payment and Settlement Systems Act, 2007
- It was set up with the guidance and support of the Reserve Bank of India (RBI) and Indian Banks’ Association (IBA).
- NPCI has 10 promoter banks.
- In 2016 the shareholding was broad-based to 56 member banks to include more banks representing all sectors.
- It has been incorporated as a “Not for Profit” Company
Bharat Bill Payment System (BBPS)
- It is an integrated bill payment system in India
- It enables multiple payment modes, and providing instant confirmation of payment
National Electronic Toll Collection (NETC)
- NETC offers an interoperable nationwide toll payment solution
- It enable a customer to use their FASTag as payment mode on any of the toll plazas
- It is a device that employs Radio Frequency Identification (RFID) technology for making to`s directly while the vehicle is in motion.
- FASTag (RFID Tag) is affixed on the windscreen of the vehicle
- It enables a customer to make the toll payments directly from the account which is linked to FASTag.
- 1st used as a pilot project in 2014 on the Golden Quadrilateral between Ahmadabad and Mumbai.
Aadhaar Enabled Payment System (AePS)
- AePS is a bank led model which allows online interoperable financial inclusion transaction at PoS (Micro-ATM) through the Business correspondent
- AePS allows you to do six types of transactions.
- Cash Withdrawal
- Cash Deposit
- Balance Inquiry
- Aadhaar to Aadhaar Fund Transfer
- Mini Statement
- Best Finger Detection
National Automated Clearing House (NACH)
- It is a centralized system, consolidate multiple ECS systems running across the country
- It use as an automated monthly payments system
- NACH’s Aadhaar Payment Bridge (APB) System helping the Government in making the Direct Benefit Transfer scheme a success.
National Financial Switch (NFS)
- It maintain high standards of application and network for ATM in India
- It allows Cash Withdrawal, Balance Inquiry, PIN Change and Mini Statement, Interoperable Cash Deposit, Mobile Banking Registration, Card-to-Card Fund Transfer etc.
Cheque Truncation System (CTS)
- Extended cut off time for acceptance of Customer Cheques by banks
- Easy retrieval of information
- Reduced timelines for clearing
Unified Payments Interface (UPI)
- UPI is a system that powers multiple bank accounts into a single mobile application
- It is merging several banking features, seamless fund routing & merchant payments into one hood.
- UPI enables “Peer to Peer” collection or sending money
- It was launched on 11th April 2016
- Immediate money transfer through mobile device round the clock 24*7 and 365 days.
- only fixed and savings account could be linked
- Upper limit per UPI transaction is Rs.1 Lac.
- UPI, built on IMPS
- There is no need to per-load money in wallets
- Customers can now link their overdraft (OD) account
- Invoice to Inbox feature for verified merchants
- Check the merchant’s credentials using a QR code
- One Time Mandate feature, which allows users to schedule a payment
Bharat Interface for Money (BHIM)
- BHIM is an app that lets you make simple, easy and quick payment transactions using Unified Payments Interface (UPI).
- By using BHIM App, we can make instant bank-to-bank payments and Pay and collect money using just Mobile number or Virtual Payment Address (UPI ID).
BHIM Aadhaar Pay
- It enables Merchants to receive digital payments from customers over the counter through Aadhaar Authentication.
- Per transaction limit is Rs.10,000
- RuPay is a card payment system like Visa or Masters
- It would lead to lower cost of clearing and settlement for each transaction
- Its specifications are open standards, interoperable and can be adopted by all card schemes.
- To provide a mechanism for including Low Value Payments (LVPs)
- This card can be used for transit payments (Bus, Metro, Cab etc.), toll, parking, small value offline retail payments as well as normal day to day retail payments.
- Target of Government of India for implementation of National Common Mobility Card (NCMC) program across the country with the vision of ‘One Card for all Payments
- It is Person to Merchant (P2M) Mobile payment solution.
- User can scan these QR via BQR enabled mobile banking app and pay using Card linked account / VPA / IFSC + Account / Aadhaar.
- Its a USSD based mobile banking service of NPCI was initially launched in November 2012.
- The service had limited reach and only two TSPs were offering this service MTNL & BSNL.