Thursday, June 02, 2011

Money Order through Mobile Phone

The joint technological venture of India Post and Bharat Sanchar Nigam Limited (BSNL) — moble-based money transfer service — was launched by the Union Minister of States for Home Affairs and Communications and Information Technology, Gurudas Kamat, on Wednesday.

For the inaugural launch, Kamat transferred Rs 1,000 to Helpage India, an NGO in Patna, using the service.
The transaction was projected live to the gathering, while the reaction of the receivers in Patna was also screened through video conferencing.

“We already have web-based money transfer services like e-money order and instant money order. Everyone has mobile phones and with a network of hundred and fifty-five thousand post offices, we aim at reducing the cost of money order commission so that workers can easily send money back home,” said Radhika Doraiswamy, Secretary (Posts) to the Union Government and Director General of the Department of Posts, in her keynote address.

The sender has to go to the nearby post-office to use the service. Mobile phones equipped with a special application will be provided to the post-office staff, in which the required data will be fed for the transfer. The sender and the receiver need to know the special code of transaction. For additional security purposes, an identification proof like a PAN card number is also required. The recipient can get the money in 10 minutes time upon sharing the code at the receiving post-office.

"The application is highly secure and apart from the assigned personnel in the post-office, nobody else can touch those mobile phones," informed Neeraj Kumar, Additional General Manager for Value Added Services, BSNL. This service will have flexible limits extending up to Rs 50,000.
“For 8 weeks, this service will be available in Punjab and Bihar only, but, we aim to make it available everywhere in India in two years. The common man will benefit through this collaboration of the Department of Posts and BSNL,” said Gurudas Kamat.

Source : The Financial Express