You probably have seen the BharatPe QR code at a nearby Kirana store. The UPI QR code that you could pay using any BHIM UPI apps like Google Pay, PhonePe and Paytm. For merchants or business owner, the Indian payments company offers a single interface for all their UPI apps. Further making the payment acceptance process simpler for merchants, BharatPe has launched its point of sale or PoS card machine called Bharat Swipe.
One big advantage of using Bharat Swipe is that there won’t be any sort of fees for merchants. It would have zero merchant discount rate or MDR, and there won’t be any hidden or additional charge or even rental for the device and service. Just like their original UPI QR code-based payment product, there won’t be any charge or fees that the merchant needs to pay while collecting payments. In addition to zero fees, the company would also offer lifetime free warranty on the device.
It would allow local small businesses and Kirana stores to go fully digital without spending any money. They could offer their customers easy UPI and card (Credit card and debit card) based payments without incurring any fees or charges. It would also allow them to offer contactless payment (NFC supported cards) to customers.
According to a report from entrackr “The PoS machines have already been deployed at about 1,000 merchants. Besides zero merchant discount rate or MDR, it won’t charge any sort of fee including rentals.”
BharatPe foray into the PoS market in India would pose a great threat to existing players. Traditional PoS companies like banks charge hefty fees and rental for the device. Recently, Paytm launched its all-in-one Android bases Smart PoS system. But the company charge around Rs 900 as monthly rental for the device, 0.5 per cent MDR on debit card and 2 per cent MDR on credit card transactions.
With zero MDR and zero rental, BharatPe PoS card machine or Bharat Swipe would disrupt the Indian digital payment market. This would force other PoS players to reduce their fees or completely abolish the fees to stay relevant in the market.
As for a consumer, this would be mean more stores to get digital payment option. Stores would now accept card payment along with the UPI payment option. Thus ease up your payments in-stores.
If you are a merchant, you could get in touch with one of BharatPe customer support on their website to know more details about getting a Bharat Swipe for your store.