India is a cash economy – and everyone knows this.
Venture capitalists see a huge opportunity and are investing in companies that provide financial services for the over 1 billion people in India. I have written last year about the numerous payment related companies that are working in India. The government of India has undertaken many initiatives from its side to wean people away from cash – let us leave the politics aside – GoI has tried to jumpstart digital transactions through demonetization of ₹500 and ₹1000 currencies last year and are promoting digital platforms like UPI which integrates AADHAAR with your bank account to provide a seamless service. NPCI has released a mobile app called BHIM, which allows people to transfer money between their bank accounts, effortlessly.
I have tried the BHIM App earlier, the concept is wonderful, but unfortunately, it hasn’t really taken off with users – one reason could be the UPI backend was new and needed time to stabilize, and, the other being the app on regular usage left much to be desired. So it is a good development for India, that Google has developed “Tez” to help India go “cashless”. It is a simple to use mobile payment app, that uses the same UPI backend as with BHIM developed by NPCI to connect to your bank account with your mobile number using AADHAAR platform. Google Tez app feels slick, much better to BHIM and simpler than Truecaller’s implementation of UPI.
The first step in using the Google Tez App is to add your bank account – for this, you simply select your Bank name and then an OTP comes to your mobile number registered with your AADHAAR number. Once the OTP is verified you can enter your UPI PIN if you already have one or create a new one. That’s all, your account is now mapped with Google Tez. You can now transfer money or receive money from anyone using their mobile number or their UPI ID. A highlight of Tez is its support for contactless payment between two phones that are nearby using inaudible sound waves.
Hope Google Tez finds traction with users across India. Good luck!