What is e-RUPI and how does e-RUPI work?

e-Rupi connects sponsors of services with beneficiaries and service providers in a digital manner without any physical interface. Under this, it is ensured that payment is made to the service provider only after the transaction is completed.


e-RUPI Digital Payment

If you want to know about, What is e-RUPI and how does e-RUPI work? Then I have explained all the information related to it in detail in this blog. If you want to know about it, then read this entire blog carefully. So let’s know.

What is e-RUPI?

eRUPI is a new way of making payments in a digital way. This is completely different from the digital payment methods already in use. It will be available in the form of a voucher. Simply put, it is a prepaid gift card, which can be used by the recipients at their convenience. Its special thing is that for this no internet or bank account will be required.

In this, UP can be sent in the form of SMS or QR Code. Here the correct unique will be according to the user and the receiver. This means that people will be able to use it for the purpose for which it has been sent.

Let us understand by example if the e-RUPI voucher has come for the vaccine on whose mobile number, he can use it only for vaccine, not for other things. And only after using this voucher, a notification goes to the issuing organization or bank that this voucher has been used.

Difference between e-RUPI and Digital Currency?

Money coming from the e-RUPI system via direct messaging may look like it is a digital currency, but it is not. Since the sender of the coupon will be using Indian Rupee for this, it cannot be called a digital currency. Digital currency is issued only by the Central Bank of the countries and It is recognized by the government.

There is no difference/variance in its value against the physical currency/Rupee. That is, the value of 10 rupee notes and 10 rupee digital currency will be equal. The only difference would be that the digital currency would be in code form. Reserve Bank of India is working to bring digital currency of the Central Bank. However, it is not yet clear what its shape will be. Will the central bank use rupee or gold to issue it etc.?

Who will issue the eRUPI Voucher?

Now the matter comes that who will issue this voucher? So let me tell you that this system will be fully run by the National Payment Corporation of India through its UPI platform. This has also been typed from many banks. If any corporate or government agency wants to issue e-Rupi vouchers, then they have to approach these partner banks. This includes both sectors governments and private banks.

It is important to note that whatever bank will issue e-Rupi, it is not necessary that they also accept it. Meaning that if e-Rupi is issued from a bank, then that bank will also give the facility to cash it. The person to whom the eRupi voucher is to be sent has to be given to the bank along with the mobile number. The bank will contact the mobile service provider and identify the customer and send the eRupi voucher to his mobile number.

In which Banks e-RUPI will run?

The bank will work in two ways on e-RUPI. One is the bank that will issue e-RUPI vouchers and the other that will accept them. There are some banks that do both types of work. At the present time, there are totals 11 banks that will support the e-RUPI payment method. The good thing is that big banks like State Bank of India, ICICI Bank, HDFC Bank, PNB, Axis Bank, and Bank of Baroda will also issue and accept this voucher. IndusInd Bank, Indian Bank, Canara Bank, Kotak Mahindra, and Union Bank of India only issue, do not accept e-RUPI Vouchers.

e-Rupi Vouchers issuing and accepting banks

  • State Bank of India
  • ICICI Bank
  • HDFC Bank
  • PNB Bank
  • Axis Bank
  • Back of Baroda

e-RUPI Voucher only issuing bank

  • Canara Bank
  • IndusInd Bank
  • Indian Bank
  • Kotak Mahindra
  • Union Bank of India

How does e-Rupi work?

e-Rupi connects sponsors of services with beneficiaries and service providers in a digital manner without any physical interface. Under this, it is ensured that payment is made to the service provider only after the transaction is completed. Being prepaid, it is possible to make timely/ punctual payments to the e-Rupi voucher/coupon service provider without the intervention of any intermediary.

Where will the e-Rupi Voucher be used?

eRupi can be used to provide services under schemes like providing medicines and nutritional assistance under maternal and child welfare schemes, TB eradication programs, medicines, and diagnostics under schemes like Ayushman Bharat, Pradhan Mantri Jan Arogya Yojana, fertilizer subsidy, etc. could. Even the private sector/companies can use these digital vouchers for their employee’s welfare and corporate social responsibility programs.

Can anyone send it?

Common people do not need to go to the trouble of sending e-RUPI as they do research when they send money to someone. The real problem is sending welfare money to agencies. In this, it is difficult to ensure whether the beneficiary to whom the money has been sent has reached him or not. And even if he did reach it, he used it for the same purpose or not.

This e-RUPI system can be very effective for the government. It will be very easy to send money on schemes like medicine, maternal and child welfare schemes, tuberculosis treatment programs, Ayushman Bharat schemes. The government also says that private sectors/companies can also take advantage/banalities of this platform for their employees or customer. Private companies pay their employees through coupons etc. on many items. For example, the Sodesco food stamp. Employees use these to pay for food and drinks wherever they go.

Read Also: What is a bitcoin and how does it work? How to buy bitcoin wallet


In this blog, I have told you the complete information related to What is e-RUPI and how does e-RUPI work? (eRupi Kya Hai) in detail, hope that you like the given information. So do share it with your friends so that this information can reach them too. If you have any questions related to this, then you can ask through comment. I will help you in every possible way. Thank you.

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