QR code
Also called: quick response code · Topic: Payment Systems and Digital Finance · NCERT: Class 7, Ch 11 "From Barter to Money"; Class 7, Ch 8 "Banks and the Magic of Finance"
Meaning
A QR code (quick response code) is a square barcode that machines can read. In payments, it holds the payee's details, such as a UPI ID or merchant ID. The payer scans it with a smartphone to pay. The payer does not need to know the payee's account number or IFSC (the bank branch code). This is why small sellers can accept digital payments cheaply. BharatQR (2016) is one common QR code that works for both cards and UPI.
Example
Fruit-seller Krishnappa keeps a QR card on his cart. A customer scans it and pays ₹60, and "the payment then goes directly into Krishnappa's bank account" (Class 7 NCERT).
Don't confuse with
- UPI ID (virtual payment address): a UPI ID is the payee's address itself, which you can type in. A QR code is just a scannable picture that holds that address.