Paytm has introduced QR code based payments in its Wallet app which can be used by shopkeepers or service providers to start accepting digital payments.
The QR code [A (Quick Response) code is a matrix bar code – a machine-readable label that contains information] option will allow service providers carry a laminated QR code of their account and receive payment even without a data connection.
After scanning a QR code, the buyer enters the total payment amount to approve the payment.The service providers will receive a transaction confirmation through SMS even on a basic phone.
Under the current method, a one-time password is generated after the customer’s mobile number is received.
Merchants will also be able to generate dynamic QR codes which will contain the amount to be paid as well, in addition to merchant’s Paytm details.
“The existing 10,000 merchants, who enable top-up of Paytm wallets with cash, will also be encouraged to start accepting QR code-based payments as many of them are kirana stores. We see high applicability of this solution with local retailers & service providers like handyman, autos, small restaurants & kirana stores,” says Nitin Misra, Vice President, Payment Products.