aeps full form

AEPS Full Form and Details

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Full Form:

AEPS stands for Aadhaar Enabled Payment System.

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Overview:

AEPS is a financial transaction system in India that allows bank account holders to carry out transactions using their Aadhaar number and biometric authentication.

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Key Features:

– Secure Transactions: Utilizes biometric data for authentication, making transactions secure and reducing the risk of fraud.
– Accessibility: Enables financial transactions at micro-ATMs through banking correspondents, providing access even in rural areas.
– No Need for Physical Presence: Eliminates the need for credit/debit cards or mobile devices for financial transactions.

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Services Offered:

1. Cash Withdrawal: Customers can withdraw cash using their Aadhaar-linked bank accounts.

1. Cash Deposit: Enables depositing cash into a linked bank account.

1. Balance Enquiry: Users can check their bank account balance.

1. Fund Transfer: Facilitates interbank or intrabank fund transfers using Aadhaar numbers.

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Benefits:

– Promotes financial inclusion by reaching remote areas.
– Reduces dependency on physical banking infrastructure.
– Provides a simple, user-friendly interface for the digitally less literate populace.

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How It Works:

1. Step 1: Visit a banking correspondent with a micro-ATM device.

1. Step 2: Provide your Aadhaar number.

1. Step 3: Authenticate your identity using biometric verification (fingerprint or iris scan).

1. Step 4: Select the type of transaction to execute (withdrawal, deposit, etc.).

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Conclusion:

AEPS has revolutionized banking for rural and underserved populations in India by seamlessly integrating financial services with Aadhaar, thus ensuring secure, efficient, and widespread access to banking facilities.