AEPS: Benefits of Aadhaar Enabled Payment System | iServeU

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AEPS: Benefits of Aadhaar Enabled Payment System

AEPS is an abbreviation written over many retail shops nowadays. The retail shops are converting into a mini-ATM from where you can make financial transactions easily. The full form of AEPS is Aadhaar Enabled Payment System that permits money transactions based on the Unique Identification Number printed on your Aadhaar card. The main motto of this initiative is to promote a cashless society and online payments. In this way, the government wants to include all the sections of society to make online transactions through their Aadhaar card. Earlier, the cash deposit was one of the functions of this payment system. Now, you can avail of three services i.e. Cash withdrawal, mini statement, and balance inquiry. It is designed for people staying in rural areas where they couldn’t go to nearby ATM or they don’t know how to use ATMs. Many retail shops are using AEPS and converting their shops to mini-ATMs. These retailers are available round the clock so, you can make transactions whenever you wish. It saves you time and hassle. You don’t have to share your bank details or other confidential information with the retailers. The only document you need is the Aadhaar card. Within a certain AEPS transaction limit, you can withdraw the cash per month.

How to use AEPS?

AEPS work for those who linked their bank account with Aadhaar. Using AEPS is extremely easy, all you need to do is follow five easy steps.

Step 1: Visit any nearby mATM or banking correspondent.

Step 2: Provide your Aadhaar number and bank name.

Step 3: Choose from the options i.e. cash withdrawal, mini statement, balance inquiry

Step 4: Provide Verification (Fingerprint or iris scan)

Step 5: Collect your receipt & your transaction is successful.

What are the benefits of AEPS?

AEPS offers many benefits to rural as well as urban people. It is very easy and convenient to use. You don’t have to worry about safety and security. The payment system is launched for the underprivileged section of society. You can avail of three major services through AEPS. It is a fast and safe way to make financial transactions, round the clock. Whether you are an aged person or completely unaware of the operation of ATM, you can still make transactions with AEPS. The retailers and AEPS agents who are providing AEPS services are getting a commission on every successful transaction. Banks are full of busy people & when you go to the bank for any inquiry, you have to wait for a long time. Through the AEPS system, you save your time and hassle, also you don’t need to carry your debit card. This system also facilitates the disbursement of government facilities like NREGA, handicapped old age pension, or social security pension. The banking correspondent (BC) can reach rural areas and provide services that are beneficial for both parties.

What is the transaction limit of AEPS?

AEPS allows a total number of 10 transactions that include all failed transactions as well. The maximum transaction limit of AEPS is Rs. 50,000 & it differs from banks to banks.

What is the AEPS transaction limit per month?

The AEPS transaction limit per month is Rs. 10,000 & it also differs from bank to bank. You can check out the list of different banks with their transaction limit. RBI has set the AEPS transaction limit to stop any misuse of this method of payment.

What are the different types of money transfer?

Like AEPS, there are many different types of money transfer systems. As the transaction limit of AEPS is less, you opt for other types of money transfer.

  1. NEFT (National Electronic Fund Transfer)

NEFT is also a fast and easy money transfer method. Here you don’t have to think about the transaction limit. The transactions are done in batches of 30 minutes and operated within the working day and between 08:00 AM to 07:00 PM.

  1. RTGS (Real Time Gross Settlement)
  2. This is an instant money transfer method where settlement occurs immediately. This method allows for a large amount of money transfer.
  1. IMPS (Immediate Payment Service)

Immediate payment services as the name suggest providing instant round-the-clock digital fund transfer services that you can use on your smartphones.

  1. UPI (Unified Payments Interface):

UPI is a popular online payment method that is used to make transactions easily and conveniently. Through the UPI method, you can send, receive, and purchase anything easily.

  1. Cheque

The cheque is a legal document that instructs one bank account holder to pay a certain amount to another bank holder. It is also a good way to transfer money to anyone.

Are you still confused about the AEPS payment system? Come to iServeU has 25,000 agents, providing AEPS services in rural areas. Its main motto is to provide a quick fund transfer facility via money transfer services business. iServeU is providing AEPS with two banks and users can start AEPS services with self-authentication. For more info, call on +91 8338088000 or mail your query to