Paytm, BHIM, or Google Tez? For digital payments, choose wisely
What's the story
Due to demonetization, several Indians were forced to opt for digital payment options, as cash transactions had come to a halt. Even when the crisis was over, this trend continued. The government is also promoting cashless India tirelessly to encourage the practice. However, there's still confusion about which reliable, user-oriented option one should choose for the day-to-day cashless transactions. Hopefully, this will help.
Mobile wallets
The popularity of mobile wallets
Mobile wallets received considerable impetus when the NDA government carried out the demonetization drive last year. Many started using them out of necessity but even post-demonetization, they remain hugely popular. Attractive cash backs and offers are also given time-to-time on these platforms. Among mobile wallets, there are several to choose from.
Paytm
Options to choose from
In mobile wallets, you can take your pick from various options, like Paytm, MobiKwik, Oxigen, FreeCharge and others. While using mobile wallets, you have to first store an amount using your debit or credit card. The limit of this amount stretches to as far as Rs. 20,000. Now you can pay as required with this wallet. However, it has certain limitations.
Bank
Pros and cons
Mobile wallets help in booking movie tickets, paying bills, fees etc. However, the amount, which is being transacted, doesn't go directly to the bank but to the wallets. Moreover, both the payee and the payer need to use the same mobile wallet, say Paytm, to carry out these transactions. This is why you'll see stickers outside certain institutions showing which mobile wallets they use.
BHIM
Bharat Interface for Mobile or BHIM
Another option is the government launched Bharat Interface for Mobile or BHIM app. This app works based on the Unified Payments Interface system. Transactions are directly made into bank accounts and you don't have to store any amount in the app. All the payer and the payee need are UPI connected bank accounts. Also, it's not mandatory for the recipient to have BHIM app.
New kid on the block
One can also opt for Google's recently launched UPI-based payments app, Tez. It supports several regional languages, such as Hindi, Bengali, Gujarati, Kannada, Marathi, Tamil and Telugu and is available on both Android and iOS. There are several ways to make payments. One can pay using the UPI ID of the recipient, by scanning a QR code or by simply entering the phone number.