Aadhar Card May Soon Become Payment ID

 The Aadhaar cards people all around India hold may soon become payment identification cards too. The government is planning to unveil a new cashless payment system with the Bharat Interface for Money that uses the Aadhaar card. Specifically, a person will enter in one’s 12-digital Aadhaar number to take care of payments through BHIM.


The Aadhaar payment option will be the sixth such option to use in the BHIM app. It will joint other options like the IFSC code and mobile number among other confirmation choices.

Potential Benefits

The advantages of this move by the government include the following:

  • When the Aadhaar number is listed as a payment identification number on the BHIM app, no added forms of authentication are needed. This includes no biometrics that might not work and no need to register with the Unified Payment Interface first.
  • This will also target a large number of people all around India. About a third of people in India have Aadhaar numbers, thus improving upon how well they can get access to payments through the card.
  • The system also works with a variety of bank accounts. These include accounts that are linked up to Aadhaar numbers already. About 38 crore people in the country have linked their accounts to those numbers. They can get direct payments from the UPI app and won’t even have to register in the process.

Key Points About the Mobile Payment System

BHIM does let people send money to mobile numbers. The receiver must still be registered with the UPI to get a payment. It may be difficult for some people to get UPI PINs for their debit card needs. Fortunately, using the Aadhaar system will make it easier for people to take care of their money functions without having to worry about other PINs.

Aadhaar lets people get payments and send money regardless of whether or not they are on the BHIM app. This improves upon how people can get their payments handled.

In fact, this should help with improving how the system is accessible. About 50 to 60 crore new users are expected to be added to the mobile payment system in the next few months.

Future Plans

Some additional plans may be included in the future:

  • The Aadhaar number may be entered into point-of-sale devices in the future. Biometrics may also be used to verify one’s account through this system although it is unclear if it will be included or not.
  • Additional biometric devices may be added in more retail locations around India to improve how the Aadhaar process works. Some improvement might be required though due to some biometric devices being weak and unable to record data and information in some instances.