The consequence of mindlessly violating traffic rules is to pay hefty fines to the traffic cop and oftentimes, you might not have the requisite cash at your disposal.
This is where plastic money will come in extremely handy and will offer you a way out in these difficult times. With the use of debit and credit cards for payment of fines through Point of Sales machines, the entire process becomes hassle-free and simple.
How has the Introduction of Point of Sale Devices Paved the Way for Cashless Transactions?
Electronic payments have given a push to economic growth while advancing financial inclusion – providing further impetus for countries to adopt these systems at the earliest, reducing dependence on cash. To make this dream a reality a Point of Sale (PoS) device is crucial, for it processes the card payments at the location of the device itself.
The introduction of these devices has paved the way toward cashless transactions in the following manner–
- Increased universal acceptability of cashless payment systems.
- It allows a large number of merchants, both online and offline to be on board for cashless payments.
- Enables the digital payments industry to mature at a rapid pace.
This concept of a PoS device is increasingly being adopted by the Indian traffic police system too in the collection of traffic fines from offenders. It was first introduced by the Bengaluru Traffic Police and later spread across different cities. The functioning of these devices for the collection of traffic fines is no different from retail systems save for the change in purpose.
How does It Work?
The manner in which the cashless payment of traffic fines will work is as follows –
- The traffic police will be in possession of a hand-held e-challan PoS device. When an individual is caught for a traffic offense, then the traffic cop generates a challan on the machine.
- The challan will contain the registration number of the vehicle and mention the fine amount.
- This e-challan is then sent to the contact number/email ID of the offender.
- On receiving the challan, one can pay the fine through electronic money transfer channels. The offender also has the additional option of making the payment on the spot by swiping one’s card against the e-challan machine.
- These PoS devices will work the same way as those held by retailers. They are secure modes of payment. There is little or no chance of compromise of sensitive data.
- Once the credit/ debit card is swiped, the offender will have to key in the password.
- Two receipts- one for the offender and the other for the police department will be generated on spot.
- Please note: there will be no extra amount charged by the payment gateway for the transaction made.
- With the system becoming more efficient by the day, the police department can now use the database for tracking repeat offenses and keeping tabs on the payment of fines. The entire process has become more efficient and has led to a reduction in paperwork.
Benefits of Going Cashless
- Saves a considerable amount of time.
- Makes the transaction secure.
- Saves a lot of paper.
- Digital proof can be used for validating car insurance policies and driver’s licenses.
- Has opened doors for e-challans.
Automation of the process of collecting traffic fines is an excellent move for it has streamlined the process of collecting penalties guaranteeing a quick, hassle-free, efficient process.
The data collected can be used to deter further traffic violations through heavier fines and keep a more stringent system in place. This is a long-awaited reform that will go a long way in securing a more robust system.