Aadhaar Enabled Payment System (AEPS) is revolutionizing banking services in India, (start AEPS service in Rajasthan) especially in rural and semi-urban areas like Rajasthan. This service allows customers to (start AEPS service in Rajasthan) perform basic banking transactions using just their Aadhaar number and biometric authentication, eliminating the need for cards or PINs. If you’re looking to start AEPS service in Rajasthan, this guide will walk you through the entire process—from eligibility to setup and operations.
What is AEPS and Why Start It in Rajasthan?
AEPS (Aadhaar Enabled Payment System) is a secure, UIDAI-approved banking service that enables:
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Cash withdrawals
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Balance inquiries
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Fund transfers
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Aadhaar to Aadhaar payments
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Mini statements
Rajasthan, with its vast rural population and growing digital banking adoption, presents a lucrative opportunity for AEPS service providers. With over 6.5 crore Aadhaar enrollments in the state, AEPS can bridge the gap between traditional banking and financial inclusion.
Eligibility to Start AEPS Service in Rajasthan
Before diving into the process, ensure you meet these requirements:
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Business Entity – You must be a registered business (individual proprietorship, partnership, LLP, or company).
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Bank Account – A current account with an AEPS-enabled bank (SBI, PNB, BoB, etc.).
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Aadhaar & PAN – Mandatory for KYC verification.
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Biometric Device – An IRIS or fingerprint scanner certified by UIDAI.
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AEPS Service Provider – You need to partner with a Payment Aggregator (PA) or Banking Correspondent (BC).
Step-by-Step Process to Start AEPS Service in Rajasthan
Step 1: Choose a Banking Partner or Payment Aggregator
To offer AEPS services, you must tie up with:
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Banks (SBI, ICICI, HDFC, etc.)
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Payment Aggregators (PayNearby, Eko, Fino, Razorpay)
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NBFCs & Fintech Companies
Pro Tip: Compare commission structures (typically ₹5-15 per transaction) before finalizing a partner.
Step 2: Register as a Banking Correspondent (BC) or Agent
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Submit an application to your chosen bank or aggregator.
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Provide business details, PAN, Aadhaar, and address proof.
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Complete KYC verification.
Step 3: Purchase UIDAI-Approved Biometric Device
You’ll need a micro-ATM or POS machine with fingerprint/IRIS scanning. Popular models include:
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Mantra MFS100
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Morpho Secugen
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Eko Kisan
Cost: ₹5,000 – ₹15,000 (subsidies may be available under government schemes).
Step 4: Install AEPS Software & Complete Testing
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Your banking partner will provide AEPS software.
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Conduct test transactions to ensure smooth operations.
Step 5: Launch Your AEPS Service
Once approved, you can start offering:
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Cash withdrawal (₹1,000 – ₹10,000 per transaction)
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Balance checks
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Fund transfers
Cost & Revenue Model for AEPS in Rajasthan
| Expense | Estimated Cost |
|---|---|
| Biometric Device | ₹5,000 – ₹15,000 |
| Registration Fee | ₹0 – ₹2,000 |
| Working Capital | ₹10,000+ |
Earnings:
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₹5-15 per cash withdrawal
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₹2-5 per balance inquiry
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Additional commissions on DMT, bill payments
Example: If you process 50 transactions/day, you can earn ₹500-1,000 daily.
Challenges & Solutions in Rajasthan
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Internet Connectivity Issues → Use offline AEPS modes.
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Low Awareness → Conduct village camps to educate users.
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Fraud Risks → Use only UIDAI-certified devices.
Government Support & Subsidies
Rajasthan government promotes digital banking via:
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PMJDY (Pradhan Mantri Jan Dhan Yojana)
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Direct Benefit Transfer (DBT) integration
Check with Rajasthan Grameen Bank or NABARD for subsidies on biometric devices.
Frequently Asked Questions (FAQs)
1. Can I start AEPS without a shop?
Yes! Many agents operate from home or as mobile banking agents.
2. Which banks offer the best AEPS commissions in Rajasthan?
SBI, Bank of Baroda, and Punjab National Bank provide competitive rates.
3. Is AEPS safe for customers?
Absolutely! Transactions require biometric authentication, reducing fraud risks.
4. How much investment is needed?
Initial costs range from ₹10,000 – ₹30,000, depending on device quality.
5. Can I offer other services with AEPS?
Yes! Many agents combine AEPS with DMT, insurance, and bill payments for extra income.
Conclusion
Starting an AEPS service in Rajasthan is a low-cost, high-reward business opportunity, especially in rural areas. By following the steps above—choosing a banking partner, securing a biometric device, and promoting your services—you can build a steady income stream while contributing to financial inclusion.
Ready to begin? Partner with a trusted AEPS provider today and tap into Rajasthan’s growing digital economy!
Disclaimer
This article is for educational purposes only. Rules and regulations may change, so verify with official sources before starting your AEPS business. If you have any concerns regarding this content, please visit our DMCA page for removal requests. Always ensure compliance with RBI and UIDAI guidelines.