Aadhar-enabled payment system
Encyclopedia
Aadhaar Enabled Payment System or AEPS is an Indian payment system developed by National Payments Corporation of India
National Payments Corporation of India
Reserve Bank of India, after setting up of the Board for Payment and Settlement Systems in 2005, released a vision document incorporating a proposal to set up an umbrella institution for all the RETAIL PAYMENT SYSTEMS in the country...

 based on unique identification number, the AADHAAR. The system allows a person holding an Aadhaar number to carry out financial transaction on a Micro-ATM provided by the Banking correspondent.

History

AEPS was launched in March 2011. The pilot project is being run in districts of Jharkhand (where the first unique identity, or UID, numbers have been issued) in association with three banks, ICICI Bank , Union Bank of India and Bank of India.

The service

AEPS project is to make banking easier for poor people by involving business correspondents in rural and remote areas in India.

The four basic types of banking transactions that AEPS allows are balance enquiry, cash withdrawal, cash deposit and Aadhaar to Aadhaar funds transfer. All that a customer needs for availing of the AEPS services is an AADHAAR number.

External links

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