Post-demonetisation, cashless payment methods have become both a necessity as well as an acceptable method of payment for rural and urban populations alike. To the support the surge in digital transactions, State Bank of India (SBI), the country's largest bank, has responded with new methods to make cashless transactions. Ranging from the popular digital wallets to options for transferring funds through SMS, a wide variety of payment options are available for SBI customers today. While SBI offers most of these services free of cost, a small fee is charged on a per-transaction basis in some cases. Read on to know some simple and secure methods to go cashless.
Digital wallets are the easiest option to make small payments. SBI's digital wallet service, called 'State Bank Buddy', can be accessed through a mobile app and is available in 13 languages. With State Bank Buddy, you can simply send or ask money from any of your contacts even if they do not have an SBI account. The service also allows you to pay bills, transfer cash to your account, shop online and book movie or flight tickets. Before you use SBI's digital wallet, you must transfer funds from your account into the digital wallet. To use this mode of digital payments, you will need access to Internet data services either through a wireless facility or 4G/3G/GPRS/Edge, SBI said.
The USSD (Unstructured Supplementary Service Data) transfer system can be a used by people who don't own a smartphone or don't have access to the Internet. This method of transferring money is universal to all phones and SBI customers can sign up by sending the text "MBSREG" through an SMS to 9223440000 or 567676. Upon doing so, the user will receive a User ID and a default MPIN over SMS. Using USSD, a user can do things like enquire balance in account, get a mini statement of the last five transactions or transfer funds to accounts with SBI.
This method gives a special emphasis to security. Transferring funds using NEFT or mobile banking requires the sender to reveal his or her account number to the receiver but with UPI the user will be able to send money using a unique username. "SBI Pay" is a payment solution not only for SBI account holders, but account holders of all banks who are part of UPI, to send and receive money from their smartphones. This happens through a virtual payment address that acts as a unique identifier. No additional details other than the virtual payment address (VPA) are required from the user's side.
The option can either be accessed via the Internet banking or mobile banking application.
Net banking is a well-established way to access all your banking facilities. An SBI user is required to activate net banking via the Internet and create a unique name and password for further transactions. Users can transfer money, check statements, manage beneficiaries and apply for various banking privileges using the payment method. SBI net banking also allows users to apply for loans, fixed and recurring deposits besides a slew of other banking and investment options.