Sunday, January 8, 2017

BBPS- All Bills Single Day Deadline

As the name suggests "Bharat Bill Payment System" is a noble and grandiose mission, a solution looking for problems. Sometime ago there was a committee of learned men which calculated that on the whole our countrymen pay more than 20 lakh crore amount in bills to utilities or service providers every year.
It beats me as to how regulatory diktat can solve problems associated with electronic payments. How will people take to electronic payments if you make them visit a kiosk? Even if there is some value addition won't it be better if customers themselves acquire digital skills. BBPS looks more like a solution searching for a problem. Several sites mention that banks would like to charge a small amount for the convenience provided due to the service. If I may chip in my suggestion to the already voluminous recommendations, I would like to get rid of payments on various days and pay only on one day of my choice. I would also like to have a "Single Deadline Payment".... which can be called All Bills Single Day Deadline.
I am completely exhausted of paying the following people monthly on different days:
Telecom Provider
Electricity Provider
Water Service
Gas or LPG service
Insurance Companies
Home EMIs
DTH bill
etc etc etc....

Here is some information from various sites:

History:
RBI’s plan to implement an ‘anytime anywhere’ centralized payment system is based on a report submitted by the GIRO (Government Internal Revenue Order) Advisory Group. GIRO Advisory Group (GAG) was constituted by the RBI in October 2013, under the chairmanship of Prof. Umesh Bellur, Indian Institute of Technology, Bombay to implement a national GIRO-based Indian Bill Payment System.  The panel had recommended a mechanism for centralized bills payment system in India, mainly by laying out 2 organizations: 
  • Bharat Bill Payment Services (BBPS) 
  • Bharat Bill Payment Operating Units (BBPOUs)

What is it Exactly?
As per the framework, a customer will have a single location—physical or electronic—where she can pay bills such as for electricity, telephone, water, gas, and direct-to-home television. There will be instant confirmation once the payment is made. Payments can be either made in cash or through any of the various electronic modes of payment.
(While I am all for convenience of the customer.... It beats me what new thing the BBPS is bringing to the table... What problem it is trying to solve)

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