Merchant Acquiring Buisness

About Merchant Acquiring Business

  • Bank of India provides Merchant Acquiring Services through its large branch network of more than 5000 branches to customers.
  • Bank of India is providing Electronic Data Capture (EDC) Point of Sale (POS) terminal(s) at merchant’s location(s) which facilitate acceptance of payment from Card holder by swiping of their debit/credit/pre-paid/Gift cards on the POS terminals.
  • Bank of India provides BHIM Aadhaar pay solution which enables the merchant to accept payments for goods/services using his android smartphone and fingerprint reader from customers having Aadhaar seeded bank accounts.
  • Bank of India is also providing BOI BHIM UPI QR Code based payment solution that enables the customer to make the payment by simply scanning the QR Code through their UPI enabled Mobile Application.
  • Merchants can avail Cash@ POS Facility through BOI POS terminals where merchant can give cash to the Card Holders.
  • Bank of India is also providing DCC (Dynamic Currency Conversion), IC (International Card) activation and Pre- Auth (Authorise) terminals to the Merchants subject to terms and conditions.

Key Features of POS

Ease of Use:

POS solutions can lower the cost of doing business while increasing productivity, improving the bottom line. By minimizing manual steps and times of re-entering data, POS can cut down on users’ errors.

Expanded Payment Capabilities:

POS terminals also include the ability to readily accept diverse payments types including EMV chip cards, contactless payments (NFC).By enabling your customers to use different payment types, merchants can increase revenue as well as customer satisfaction.

Quick Payments:

A point of sale helps make payments faster. With a point-of-sale, waiting time is greatly reduced for consumers, and employees can be more efficient in completing transactions.

Greater Accuracy:

A POS terminal with an easy-to-use, touchscreen interface puts all the information your sales associates and cashiers need at their fingertips. It eliminates manually keying in items and prices like one would do with a cash register.

Detailed Receipts:

POS systems provide your customers with more detailed receipts rather than just a slip of paper with the date and the amount of the sale.

EMI Conversion:

Opting for EMI at point of sale while making a credit card payment increases the affordability of the borrowers. This facility allows consumers to get high value goods or services without having the entire amount at the time of purchase.

Other Facilities in POS terminals


Use your POS terminal as Mini ATM. Merchant can use POS machine for dispensing cash up to Rs2000/- per transaction within an overall monthly limit of Rs10,000/- to any Debit card or prepaid card holder using Cash @ POS facility of ME Terminal. Similar to any sale transaction through Card on POS, Merchant will get credit on T+1 Basis. For each transaction of Cash@POS, merchant will get incentive @0.50% of transaction value subject to Max Rs5/- per transaction.

Benefits to Merchant Benefit for Card Holders
  • Additional source of Revenue
  • Reduced cost of cash handling.
  • Enhanced cash management.
  • Increase customer footfall
  • Convenient and safe way of obtaining cash
  • No Service charges for BOI Cards
  • No need to search for ATM location
IC Activation (International Cards)

This facility will enable the terminals to accept all international cards.

DCC Terminal (Dynamic Currency Conversion)

This service is offered by a Merchant which enables a Cardholder when travelling abroad or making a transaction that is not in their billing currency. This facility will enable the merchant to choose whether their transaction should be completed in either the local currency or their billing currency. If the Cardholder chooses to complete the transaction in their billing currency, their account will be debited using the exchange rate offered by the Merchant's Acquirer on POS terminal.



Android POS (Version 5)

  • Supports 4G/3G/2G, WIFI, Bluetooth, 5 inch full touch HD Screen
  • Supports all key VAS such as EMI, Loyalty, ICC,DCC,NCC etc
  • E-charge Slip via SMS and e-mail
  • Also Supports advertising feature
  • Accepts any method of electronic payment -Contactless cards and devices and chip cards
  • Supports all digital payment instruments like NFC, Cash@POS, Chip/Swipe tap, Bharat QR, UPI, wallets and Host Card Emulation

GPRS (Handheld)

  • SIM Based GPRS terminal with e-charge slip (Printing of Charge Slip)
  • Supports VAS like EMI, DCC , ICC facilities
  • Supports WIFI and 3G as optional features
  • Accepts all type of cards that includes (Contactless ,Chip cards)
  • Supports all digital payment instruments like NFC, Cash@POS, Chip/Swipe tap, BQR, UPI, wallets and Host Card Emulation

GPRS (with e-Charge Slip)

  • SIM Based GPRS terminal with e-charge slip (Non - Printing of Charge Slip)
  • Supports VAS like EMI, DCC , ICC facilities
  • Supports WIFI and 3G as optional features
  • Accepts all type of cards that includes (Contactless ,Chip cards)
  • Supports all digital payment instruments like NFC, Cash@POS, Chip/Swipe tap, BQR, UPI, wallets and Host Card Emulation

BHIM Aadhaar Pay

  • BHIM Aadhaar Pay” is the merchant version of Aadhaar Enabled Payment System (AEPS) which enables merchants (Individual or Sole Proprietor having Aadhaar Number) to accept payment from the Customer having Aadhaar enabled account using his/her Aadhaar number and Biometrics after authentication from Unique Identification Authority of India (UIDAI)
  • The registration process is fully automated and app based for individual merchants. The merchant needs to download the application from the Google Play store and register himself using his Aadhaar number and biometric credentials.
  • During the registration process, the merchant is asked to select his Bank account maintained with BOI where he wants the payments to be credited.
  • In addition, the merchant is also asked to agree to the terms and conditions for using the app, which are displayed on the mobile itself.


  • UPI QR Code (Quick Response Code) is a technology through which anyone can either pay or receive payment by scanning QR Code using any BHIM UPI enabled application. Bank of India is live with UPI QR Code for both as an Issuer and Acquirer.
  • QR Code based payment solution enables the customer to make the payment by simply scanning the QR Code through their UPI enabled Mobile App.
  • This solution helps you to lower your operational costs as no physical terminal is required to accept card payments
  • In order to provide better experience of UPI enabled payments to our valued customers/merchants, Bank is launching BHIM BOI UPI QR KIT which includes:
    • QR Code standee
    • QR Code Sticker
    • PUSH and PULL Brand sticker
    • Terms and Conditions Leaflet
    • Do’s and Don’ts for Digital Payment Products

Types of Variants under BOI BHIM UPI QR


Type A Kit

QR Code Sticker (6”x8”)
QR Code sticker on Stand (6”x4”)
Pull-Push sticker
Terms and conditions with Do’s and Don’ts leaflet

Type B Kit

QR Code sticker (6”x8”)
Digitally print QR Code on Stand(6”x4”)
Pull-Push sticker
Terms and conditions with Do’s and Don’ts leaflet

Type C Kit


QR Code on ID card with swivel hook and lanyard, ID card cover, Terms and conditions with Do’s and Don’ts leaflet.

Eligibility Criteria

  • The Merchant desirous of availing facility of acquiring business must have an Operative Account (Saving / Current / Overdraft or Cash Credit) with Bank of India.

Documents required for availing POS terminals and QR Code Kit

  • Signed Application in the prescribed format completed in all respects.
  • Ensure account is KYC compliant (Copy of PAN/Aadhar/GST etc. should be on branch record)
  • GST Registration number is mandatory for the merchants availing for POS terminals, if the annual credit turnover exceeds 20 lakh and for the issuance of UPI QR Code Kit, the monthly UPI transaction turnover exceeds 50,000 Rupees.

Rental Charges and Merchant Discount Rate


Merchant Discount Rates (MDR)

Merchant Discount Rate (MDR) or Merchant Discount Rate, is a fee paid by the merchant to its bank for accepting payments via debit card, credit card and QR code. This is typically calculated as a percentage of the transaction value undertaken through the cards or QR code. Bank decides MDR charges based on category of merchant as per government and RBI guidelines.

Product-wise percentage of MDR charges are as under:-

Merchant Category UPI QR BHIM Aadhaar Mpay Bharat QR(for card payments) Debit Card Credit card
Small Merchant(Annual credit turnover below RS 20 Lakh) 0 0.25 0.3 0.4 For Retail
Can vary from 1.75-2.00
For Corporate
Can vary from 2.50-3.00
Other Merchant(Annual credit turnover exceeds RS 20 Lakh) 0.8 0.9
  • MDR on Debit and Credit Card for fuel merchant i.e. BPCL, HPCL & IOCL is NIL
  • MDR charges may change as per RBI/NPCI guideline.

Rental Charges and Installation Fees

Our bank offers merchant acquiring solution to merchant and charge monthly rental fees/Installation fees against the bouquet of services provided to the merchant. We also provide free POS terminals to selective merchants as under:

Zero rental charge for merchants having Cash Credit/Overdraft bank account with us.

Zero rental charge for Saving & Current account holders who maintain minimum AQB of Rs 1.00 Lakh (Rupees One Lakh) in his account (Applicable for one POS terminal only).

We provide free BHIM UPI QR Codes to the merchants.

For more details on the rental charges and other queries contact your nearest Bank of India branch.

How to Avail Bank of India Merchant Solutions

To avail the Bank of India Merchant Acquiring Services, Merchant may visit nearest BOI Branch.


Useful Video Links


Features of POS Terminals


Aadhaar Enabled Payment System (AEPS)



Know how to pay using AEPS


How AEPS has been pivotal in banking:


BHIM Aadhaar

BHIM Aadhaar customer


BHIM Aadhaar Merchant