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What is e-RUPI?
The new e-RUPI service is basically a prepaid voucher that can be issued from banks directly to citizens after verifying mobile numbers and identities. Instead of putting cash in someone’s bank account, a prepaid e-RUPI voucher will be delivered in the form of a QR code or SMS string-based e-voucher to the beneficiary’s mobile number.
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How does e-RUPI work
You can get e-RUPI vouchers from 11 banks across India. It’s a prepaid voucher and works similar to demand drafts. Once the voucher is issued, the beneficiary will get a QR code or SMS with the e-RUPI voucher that can be redeemed for the purpose it has been generated.
This QR code or SMS voucher can be used only once by the person on whose name it has been issued.
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No need for bank account, online banking, apps, etc for e-RUPI
This QR code or SMS voucher can be used only once by the person on whose name it has been issued. The beneficiary can redeem the voucher without a card, digital payments app or internet banking access, at the service provider.
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How can it be used
The government wants to use e-RUPI as a “leak-proof delivery of welfare services” that can used for delivering services under schemes meant for providing drugs and nutritional support under Mother and Child welfare schemes, TB eradication programmes, drugs and other diagnostics schemes.
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Even corporates can use e-RUPI for providing employee benefits
The private sector can use e-RUPI vouchers as part of their employee welfare and corporate social responsibility programs. Your office may issue e-RUPI vouchers to cover healthcare, education, etc and for CSR activities too. The concept is similar to how to travel coupons or meal passes work at your office.
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