RuPay SoftPoS Aims To Digitally Enable Merchants To Easily Turn Their Smartphones Into A Point Of Sale Machine
The solution is considered “an inexpensive and easy to use acceptance infrastructure for merchants”
This development aims to enable customers to make seamless “ Tap and Go ” payments using the merchant’s NFC-enabled smartphones.
The National Payments Corporation of India (NPCI) has partnered with a Turkish global payment solutions company PayCore as a certified partner of RuPay SoftPOS to promote contactless payments nationwide.
“This solution can be integrated into the acquisition systems of banks or aggregators to allow the acquisition of RuPay using mobile phones with NFC (Near Field Communication-enabled) capability or add-ons NPCI said in a press briefing Monday.
RuPay is an Indian multinational financial and payment services system, designed and launched by NPCI in 2012. It was established to deliver on the Reserve Bank of India’s vision to establish a national, open and multilateral payment system .
Using the RuPay SOftPoS system, merchants will be able to accept contactless payments up to INR 5000 through a simple contactless payment mechanism using their smartphones. This system will provide cost effective infrastructure acceptance for retailers at nominal cost. It will also help proliferate the acceptance of digital payments in millions of underserved Indian MSMEs. As part of this mechanism, merchants will be able to convert their Android smartphones into payment terminals simply by downloading the supported application.
RuPay was approved by Prime Minister Narendra Modi, because transaction fees collected through the local card network “will help build roads, schools and hospitals for the poor”.
Giri Kumar Nair, Managing Director and CEO of SBI Payments, said: “SBI Payments is working closely with NPCI to support the government’s initiative in digital India enabling small and medium-sized merchants in semi-urban and rural centers. We are also enabling NCMC cards on our terminals to enhance the consumer experience, and RBI’s announcement of allowing up to INR 5,000 in tap and go transactions further enhanced our ability to reach more customers. categories of merchants. “
This development could be a watershed moment for the Indian government’s Digital India initiative, as it can enable merchants who deal in cash to accept a secure, contactless and digital payment option.
Ali Kancal, CEO of PayCore, said that through this association, the investment costs required by banks to reach over 63 million micro, small and medium enterprises will be significantly reduced.
In July 2020, NPCI launched the RuPay business credit card. The business credit card offered a 30-day credit period on business purchases, bill payments, travel expenses, automated GST, lease payments, supplier payments, and purchase in software line for SMEs and startups.
PayCore is operational in India. SBI Payment, the payment solutions company of the State Bank of India, and Hitachi Payment both use PayCore’s SoftPOS technology.
To handle the growing flow of digital payments, NPCI is now looking to reorganize its technological infrastructure to all of its payment channels, including the Unified Payment Interface (UPI), Immediate Payment Service (IMPS), Aadhaar Compatible Payment System (AePS), and National Automated Clearing House (NACH). The NPCI plans to upgrade these systems and complete the migration by the end of 2021, as it plans to process more than a billion transactions per day.