5 Major Things About The BHIM App You Should Know

  Author: Jai Prakash

You couldn’t have missed the launch of the Bharat Interface for Money (BHIM) app on December 30^th by the Prime Minister. Just in case you are not aware and not clear about what it is, just read on.

The app is meant to enable fast, secure and cashless payments through the mobile phone. This is also one of the major steps taken by the Government to provide an impetus to digital payments after its demonetization move in November, 2016. Here are five major things you need to know about the BHIM app.

What is the BHIM app? The app has been developed by the National Payments Corporation of India (NPCI) and is based on the United Payments Interface (UPI) application launched by NPCI in February, 2016. UPI allows you to make digital payments using your mobile phone by creating a virtual payment address (VPA) which represents your bank account. 

What can you do with BHIM If you have signed up for UPI-based payments on your bank account and linked it to your mobile number, you can use the BHIM app to make digital transactions. You can send money to others or receive money from them by using your mobile number as your address. 

The app also lets you check your account balance and transactions can also be made faster by scanning a QR code. The app supports almost all the major banks and more banks are being added. Money can also be sent to non-UPI supported banks by using the IFSC or MMID (mobile money identifier) code. To use mobile payment wallets, you need to load it with a balance. In the case of BHIM app, it is directly linked to your bank account.

What are BHIM’s new features In BHIM, a feature has recently been added that also lets you send and receive money using your 12 digit Aadhar number. The app was initially available for download on Andriod phones from the Google Play store and in February it was also launched for iPhone users.  The app is now also updated to support more regional languages.

How to use the BHIM app? First one needs to download the app and choose the language. The app will ask you to verify your phone number through a SMS.  Then, you are asked to create a 4 digit pass-code or a PIN. Next you are asked to select your bank, or the primary account you want to use for all transactions. The app will retrieve all the data of your bank account using your phone number.

To send money to someone, type in the phone number and the amount you want to transfer. If the number is verified and a UPI/BHIM account has been set up by the number. You can transfer money to it. If the number is not linked to UPI, you can still send money using a bank account number and IFSC code. In the same way you can request money from someone.

How secure is BHIM? When setting up the app is linked to a device using a device ID and mobile number. A verification code is sent to the mobile number. The app also asks for a PIN number at every use so someone cannot use the app even if the phone is lost.  Further a user does not need to enter bank information but the information is retrieved over secure servers from banks.