BHIM promotional cashbacks & incentives – Government of India has decided to launch the promotional cashback’s & incentives for using Bharat Interface for Mobile (BHIM). BHIM is competing with other players in the market like Paytm, Google Tez , PhonePe etc. Government is launching the BHIM cashback offers on April 14, the birth anniversary of Babasaheb Ambedkar. Cashback incentives and offers would be extended to BHIM Aadhaar Pay also.
Government has committed the budget of Rs 900 crore in cashback’s and incentives to merchants to increase adoption of the application, that runs on the Unified Payment Interface (UPI). The BHIM app was launched by Prime Minister Narendra Modi in December 2016.
The share of BHIM in total UPI transactions has dropped to 5.75% in February from 40.5% in August last year.
BHIM Offer Amount – Common Users
The incentives for merchants for using BHIM-Aadhaar platform will be significantly increased to 0.5% of the transaction value upto Rs 10,000 against the earlier 0.25% of the transaction value of just Rs 2,000.
As like Google Tez, first time users transacting through BHIM UPI will get a Rs 51 cashback on a minimum transaction value of Rs 100. For the next 20 unique transactions, people will get upto Rs 25 per transaction. For the next set of 25-50 transactions, the incentive has been fixed at a total Rs 100 and for the next 50-100 transactions in a month, it has been fixed at Rs 200 for a minimum value of Rs 10 per transaction. For more than 100 transactions at a minimum value of Rs 250 is Rs 10.
Cashback Offers – Merchant
For merchants, the incentive has been increased so that they can earn between Rs 2 and Rs 50 per transaction.