Digital Payments

TOP DIGITAL INITIATIVES-THE IMPACT

Right after demonetization, the Government of India announced a few measures to encourage digital payments. These measures were extremely important to make people aware of the alternative mode of payments and also encourage them to adopt as much they can.

BEST 5 INITIATIVES TAKEN BY GOVERNMENT TO ENCOURAGE DIGITAL PAYMENTS

DISCOUNT ON DIGITAL PAYMENTS/ONLINE BOOKINGS/INSURANCE PREMIUMS, ETC.

The consumers on a purchase of diesel and petrol by online transaction were given a discount of 0.75%. Customers availing seasonal/ monthly rail network tickets were given a discount of 0.5% if availed by online payments. Paid railway services like catering, accommodation and retiring rooms received a discount of 5%. National highway toll payments, insurance premiums sold through insurance PSU’s customer portals were given a discount of 10% if paid through digital platforms and modes.

FREE ACCIDENTAL INSURANCE COVER

The government of India came up with this innovative idea that consumers buying railway tickets online will be given free accidental insurance up to 10 lakhs.  This initiative drastically increased the total number of passengers booking railway tickets, online. This was convenient and cheaper together.

PROMOTING DIGITAL PAYMENTS IN RURAL AREAS

Two POS devices were installed in 1 lakh villages with POP less than 10,000. Rupay Kisan cards were made available for 4.32 crores Kisan credit cards holders.

NO SERVICE TAX ON DIGITAL TRANSACTIONS CHARGES

No service tax on MDR charges up to Rs 200 per transaction was made compulsory. Central government/PSUs were made to bear transactions fees /MDR charges on digital payments, and the states were advised to follow suit. PSBs were advised not to charge more than 100 monthly rentals from merchants for POS terminals/Micro ATMs/ Mobile POS.

MOBILE BANKING BECAME MORE FRICTIONLESS

Steps were taken to make mobile banking no longer tiresome but to make it easy to use and provide more functionalities for customers. It has been claimed that mobile banking will continue to increase past standard banking in customer preference considering the initiative taken by the government of India in promoting digital payments facilities.

Read more: Top 10 Characteristics of Digital Payments

Tags
Show More

Leave a Reply

Your email address will not be published.

Back to top button
Get Instant Cash Loan upto INR 2 Lakhs Quick and Easy Process