Digital Payments, Digital Payments System | Types of Digital Payments | How Digital Payments Works

Commerce Classes Gourav Miglani Aol

22 Oct 202007:30

Summary

TLDRIn this informative video, Gaurav Miglani discusses the concept of digital payments, explaining how transactions are conducted electronically without cash. He highlights the convenience of online mobile recharges and bill payments, emphasizing the speed and efficiency of digital transactions compared to cash. The video also touches on the need for internet access and electronic devices, the role of various applications for facilitating digital payments, and the importance of linking bank accounts with Aadhaar cards for seamless transactions. Finally, Miglani introduces different digital payment methods, including UPI, USSD, and QR codes, and encourages viewers to explore the benefits of digital payments in the modern era.

Takeaways

😀 Digital payments are transactions done electronically without the use of cash.
📲 The convenience of digital payments includes recharging mobiles and paying bills online, which can be done within minutes.
🌐 Internet access and electronic devices are prerequisites for availing the benefits of digital payments.
📱 There are many applications available for digital payments, including those from banks, which can be downloaded and used on mobile devices.
🔗 Linking bank accounts with Aadhaar cards and mobile numbers is crucial for utilizing digital payment services.
💡 The Indian government launched a scheme under the Digital India initiative to facilitate those who are not familiar with using smartphones and the internet for digital payments.
🛡️ Digital payments are considered reliable and fast, with the potential to significantly reduce transaction time.
🏦 Various methods of digital payments include bank cards, UPI (Unified Payments Interface), USSD (Unstructured Supplementary Service Data), and QR codes.
👛 Wallet-to-wallet transfers are a part of digital payment methods, offering a fast and secure way to transfer money.
🔑 UPI allows for easy money transfers between bank accounts and is widely used across various platforms.
🔄 Internet banking and mobile banking applications provide users with the ability to manage their finances and make transactions remotely.

Q & A

What is the main topic of discussion in the video script?
-The main topic of discussion in the video script is digital payments, including their meaning, advantages, and various methods available for making transactions without cash.
How does the script define digital payments?
-Digital payments are defined in the script as transactions where cash is neither received nor given, and all transactions are carried out through electronic media, making the process cashless.
What are the basic requirements for using digital payments as mentioned in the script?
-The basic requirements for using digital payments are having access to the internet and an electronic device such as a mobile phone, tablet, or computer.
What is the advantage of digital payments over cash payments in terms of time and convenience according to the script?
-Digital payments offer the advantage of speed and convenience, as they can be completed in a matter of minutes, unlike cash payments which may involve more time-consuming steps.
What is UPI in the context of digital payments?
-UPI, or Unified Payments Interface, is a system that facilitates interbank transactions using a mobile platform, enabling instant real-time payments between two bank accounts on a mobile platform.
How does the script describe the process of mobile recharge using digital payments?
-The script describes the process of mobile recharge using digital payments as using mobile and internet to recharge the mobile, where the amount is deducted from the user's account and added to the company's account.
What is Aadhaar Enabled Payment System (AEPS) mentioned in the script?
-Aadhaar Enabled Payment System (AEPS) is a service launched under the Digital India initiative, allowing people to make digital payments using their Aadhaar card without needing a smartphone or internet.
What are the various applications mentioned in the script that can be used for digital payments?
-The script mentions various applications such as bank-specific apps like SBI and PNB apps, UPI apps, and third-party payment apps like Paytm, which can be downloaded on mobile devices for digital payments.
What is the script's stance on the importance of internet banking and mobile banking in the context of digital payments?
-The script emphasizes the importance of internet banking and mobile banking as they provide users with the ability to perform various banking operations and make digital payments conveniently from anywhere using the internet and a mobile device.
How does the script explain the concept of QR codes in digital payments?
-The script explains QR codes as a method where a code is displayed, and the user scans it with their mobile device to transfer payments to the person in front of them, often used in apps like Paytm and at physical stores.
What are the future plans for the digital payment topic as hinted in the script?
-The script hints at future plans to delve deeper into various topics related to digital payments in the next videos, providing more detailed information and insights.

Outlines

00:00

💡 Introduction to Digital Payments

The speaker, Gaurav Miglani, introduces the topic of digital payments in this video segment. He explains the concept of digital transactions where cash is either received or paid through electronic media, making transactions cashless. He uses the example of online mobile recharges to illustrate how digital payments work, involving transferring money from one's account to a company's account. The speaker also discusses the advantages of digital payments over cash transactions, such as speed and convenience, and mentions the need for internet access and electronic devices to facilitate these transactions. Additionally, he touches upon the various applications available for digital payments and the importance of trust and reliability in the digital payment ecosystem.

05:00

🚀 Exploring Various Digital Payment Methods

In this paragraph, the speaker delves into different methods of digital payments, starting with banking cards like debit and credit cards. He mentions the AADHAAR Enabled Payment System (AEPS) and the Unified Payments Interface (UPI) as key digital payment infrastructures in India. The speaker also discusses Quick Response (QR) codes and their use in scanning and transferring payments, as well as the role of mobile applications like Paytm and WhatsApp in facilitating digital transactions. Furthermore, he explains the process of internet banking and mobile banking, emphasizing the convenience of managing financial transactions through dedicated bank applications installed on mobile devices. The speaker concludes by stating that the next video will provide more detailed insights into these topics, expressing gratitude to the audience for their attention.

Mindmap

Keywords

💡Digital Payment

Digital payment refers to the transfer of funds between parties via electronic means, rather than using cash. In the video, it is the central theme, with the speaker discussing various ways to make transactions without physical money. For example, the script mentions online mobile recharges and bill payments as instances of digital payments.

💡Cashless

Cashless transactions are a type of payment that does not involve physical currency. The video emphasizes the convenience and speed of cashless payments, illustrating how they can be done in a matter of minutes for services like mobile recharges and bill payments.

💡Mobile Recharge

Mobile recharge is the process of adding credit to a mobile phone account, typically for calling, texting, or data usage. In the script, the speaker uses the example of a mobile recharge to explain the ease of digital payments, where the amount is deducted from the user's account and added to the telecom company's account electronically.

💡Internet Facility

The availability of internet access is a prerequisite for digital payments. The video script mentions that to facilitate digital payments, one must have internet access, which is essential for the execution of online transactions.

💡Electronic Device

Electronic devices, such as smartphones, tablets, and computers, are necessary for carrying out digital payments. The script refers to these devices as tools that can be used to access digital payment applications and services.

💡UPI (Unified Payments Interface)

Unified Payments Interface (UPI) is a system in India that facilitates interbank transactions using a mobile platform. The script discusses UPI as a key method for digital payments, allowing users to send and receive money instantly using a mobile app.

💡Aadhaar Enabled Payment System (AEPS)

Aadhaar Enabled Payment System (AEPS) allows users to carry out financial transactions using their Aadhaar number and fingerprint authentication. The video mentions this system as a way for those unfamiliar with smartphones or the internet to benefit from digital payments.

💡Banking Card

Banking cards, such as debit or credit cards, are used for making digital payments. The script implies that these cards are a common method for digital transactions, with the mention of card-based payments being a part of the digital payment landscape.

💡Net Banking

Net banking refers to the ability to conduct banking activities via the internet. The video script describes using net banking for accessing services like bill payments and fund transfers, which are part of the broader concept of digital payments.

💡Mobile Banking

Mobile banking is the act of performing banking services through a mobile application. The script discusses installing a bank's app on a mobile device and using it for various banking needs, including digital payments.

💡QR Code

A QR code is a type of barcode that can be scanned using a smartphone to facilitate digital payments. The video mentions QR codes as a method for making payments quickly by scanning them with a mobile device, which is a common feature in many digital payment applications.

Highlights

Introduction to the topic of digital payments and what it means.

Explanation of transactions in digital payments, such as cashless mobile recharges and bill payments.

The convenience and speed of digital payments compared to cash transactions.

Requirements for digital payment facilitation, including internet access and electronic devices.

The availability of various applications for digital payments, including bank-specific apps.

The role of the Aadhaar card in linking with bank accounts for digital payments.

Launch of schemes like Digital India to benefit those unfamiliar with digital payments.

The Aadhaar Enabled Payment System (AEPS) for digital transactions using the Aadhaar card.

Different methods of digital payments, including UPI, USSD, and QR codes.

The ease and speed of transferring money between accounts using digital payment methods.

The use of digital wallets and the importance of secure electronic transactions.

Unified Payment Interface (UPI) and its widespread use for making payments.

Quick Response (QR) codes and their role in facilitating fast and secure payments.

The integration of digital payment methods in various applications and at physical stores.

The benefits of internet banking and mobile banking for managing finances digitally.

The distinction between using a bank's website for internet banking and using a specific bank's app for mobile banking.

A preview of upcoming detailed discussions on various topics related to digital payments in future videos.