The BHIM-Aadhaar Pay app will link your Aadhaar number and biometric fingerprint to complete a transaction.

The government on Friday launched BHIM-Aadhar platform – a biometric-based payment system – in Nagpur. BHIM-Aadhaar Pay app will allow users to make payments through the fingerprint scanner, by authenticating the biometric details of a user with Aadhaar database.

BHIM, also known as Bharat Interface for Money, was launched three months ago to provide a tool that can be a one-stop solution for all digital payments.

The BHIM-Aadhaar Pay app, which will be available for download to merchants across the country, will link your Aadhaar number and biometric fingerprint to complete a transaction. To enable the transactions through BHIM-Aadhar, merchants will have to purchase fingerprint scanners.

The government also launched two incentive schemes for the Bhim app — cashback and referral bonus — with an outlay of Rs 495 crore for six months. Every person introduced to the Bhim app, one will get a cashback of Rs 10.

These two schemes are:

BHIM Referral Bonus Scheme (For Individuals)

The Referral Bonus scheme will incentivize existing BHIM users for bringing new users on the BHIM platform and encouraging the new users to do transactions with others using BHIM or by referring new users on BHIM. Hence, the bonus will be paid to both the referrer and the new user of BHIM (referee). The referral will be considered successful only after 3 unique successful financial transactions have been completed by the new user.

On completion of minimum 3 unique successful transactions totalling only Rs 50 to any 3 unique users (either to customers or to merchants), the referrer and the referee will be notified about the bonus amount via notification in BHIM app. The referrer will get Rs 10 per successful referral, while the new users will get Rs 25 for downloading and transacting from BHIM App.

BHIM Merchant Cashback Scheme

The scheme incentivizes not just one-time adoption of BHIM by merchants, but will also encourage transactions via BHIM mode (either QR code or VPA or Mobile number or ‘Pay to Aadhaar’). The cashback to the merchant can be up to Rs 300 per month, with each merchant eligible to win up to Rs 1800 in 6 months.

There will be no need for users to have access to smart phones, internet, debit or credit cards to make digital payment to a merchant. Already, 27 major banks are on board along with 7.15 lakh merchants who will start accepting payments using Bhim-Aadhaar.