Mumbai: Aadhaar, which has become central to one’s identity in India, can now be used for various banking services without the use of credit or debit cards.

Powered by the National Payments Corporation of India, the Aadhaar Enabled Payment System offers services like Aadhaar to Aadhaar cash transfers, checking balance, cash deposit and cash withdrawal.

In order to enable AEPS, one needs to link their bank account with their Aadhaar. Aadhaar needs to be compulsorily linked to bank account within December 31.

Once your account is linked to your Aadhaar, this is how you can enable AEPS:

1. Avail the service of a MicroATM. Select your bank on the MicroATM via Issuer Identification Number (IIN). MicroATMs are like the small Point of Scale machines used for card payments, except they come with provision for punching in biometric data.

2. Put in your Aadhaar number and your scan your fingerprint to verify the biometric data.

3. Once the biometric is authenticated, your payment will be successful.

4. In case of shop owners, they will need to posses a microATM which costs around Rs 2,000. Unlike credit or debit card payments where the shop owner needs to bear Rs 2-3 surcharge, AEPS is free.

This is how you can avail the following services:

1. Banking services: NPCI can be used for availing inter-bank ATM transactions and Interbank Mobile Payment Service (IMPS).

2. Payment: Payment at stores can be made following the process described above. It will require the merchant to own a MicroATM.

3. Cash deposits can be transferred from one bank to another: One has to ask the bank where you want the money to be deposited and then follow the same procedure of punching in details and scanning the fingerprint, bank’s IIN, your Aadhaar number to finish the process/

4. Fund transfer: For Aadhaar to Aadhaar Fund Transfers, one has to also provide beneficiary's details- namely his bank’s IIN and his Aadhaar number

5. Cash withdrawal: apart from biometric details, IIN and Aadhaar number, one must also punch in the money to be sent.