Operating and Accounting Procedure of POS Machine at Post Offices for provision of Cashless transactions

STANDARD OPERATING PROCEDURE

MERCHANT ACQUIRING BUSINESS INSTALLATION OF POS MACHINES AT POST OFFICES FOR PROVISION OF CASHLESS TRANSACTIONS

Preamble:

In order to provide digital payment options to the customers of India Post, the Department has approached the largest Bank in the country viz. State Bank of India to provide the Point of Sale (POS) terminals which can be used to make card-based payments. These POS machines will be initially used to book domestic and foreign speed post, Registered Letters/Parcels, Money Orders & buying stamps and any other transactions being done by Post Offices (except Banking/Insurance transactions).

OPERATING PROCEDURE:- 

1. The Postal Assistant (PA)/Sub Postmaster (SPM) in respect of counter operations will accept valid debit/credit & prepaid cards 
2. CEPT Mysore has release the updates to modify the Point of Sale module in Meghdoot to accept cash/card mode. 
3. PA/SPM will enter the category of transaction, Transaction number (eMO/SP/Regd) and amount for the transaction for which data will flow to CEPT server at the day end.
4. Counter PA at the end of the day while handing over the transactions to the Treasurer will account for the card based transactions amount as part of cash and handover related vouchers along with the daily report thereof generated in the desktop application
5. The treasurer will enter the total of such card based swipe machine receipts in his Treasurer’s Cash Book (TCB) and preserve the daily consolidated report alongwith the receipts which are received from the counter PAs.
6. Respective entries will also be made in the HO summary and HO cash account.
7. Similarly in respect of Sub Post Offices (SO) the daily account will show the details of cash and swipe vouchers in respect of each category of accounts.
8. The entries will be entered in the SO summary at HO. Necessary fields of swipe machine receipts in the Treasury modules of Meghdoot can be customized by installing the updates released by CEPT. 

Accounting Procedure:

1. One Nodal office for DOP (Hyderabad GPO) has been identified for the purpose of settlement of payments by SBI to the Postmaster Account. This settlement will be made on T+1 basis one consolidated entry (remittance to bank).
2. Accountant of the nodal HO will tally the T+1 settlement entry with reference to the MIS daily report provided by the CEPT and with the amount in the HO cash account under the head Card Swipe machine charges category wise provided to the user of the nodal office. The nodal office will also reconcile the information with reference to the Bank scrolls and take it into account of “Card Swipe machine receipts” in receipt side and as bank remittance towards the “Card Swipe machine payments”. Any discrepancy is to be reported by the Postmaster to settle the issue with SBI.
3. At accounts section, One schedule will be generated for the Card Swipe machine transactions and the same will be reconciled with the MIS provided by SBI.
4. For generation of MIS, SBI will share all the details of machine transactions like date, machine number, office name, office pincode, Transaction number, category of account and amount to CEPT server.
5. CEPT taking the transaction data from Meghdoot application of post offices where POS machines are installed will develop a MIS portal which shows all the MIS reports for the day and the fortnight and Month.
6. Circle DA(P) of each Circle will carry out the monthly reconciliation of payments by means of Schedules of “Card Swipe machine Receipts” and “Card Swipe machine Payments” received by each HO and consolidated amounts will be certified to the DA(P) of AP Circle so as to carry the consolidated reconciliation with the Bank Scrolls of the Nodal HO in respect of the All India Receipts and Payments.
7. CEPT Mysore should develop a module whereby reconciliation is automated by matching the card based transactions made by all Circles with the amount received by SBI.

Card Usage Instructions:

1. The Post Office should not levy any charges on the card holder for permitting the customer to use a valid card.
2. The Post Office shall not place any minimum transaction limit for using a valid card. 
3. The Post Office shall ensure that the card is a Valid Card and shall swipe the card on the PoS terminal and enter the details of the transaction as displayed and ensure that Reserve Bank of India guidelines which requires entering of PIN (as applicable) as well as Non PIN cards are also accepted. 
4. Post Office shall ensure entering of PIN by the card holder and to ensure that while entering of PIN sufficient privacy is given to the card holder.
5. The Post office shall obtain the signature of the card member on the charge slip and verify the same with the signature of the Card Member on the back of the Valid Card. In case of a photo card, Counter PA shall also verify that the photograph on the card matches with the card holder.
6. The Post Office will initially not allow or make any cash advances and/ or cash refunds directly to the Card Members. The Post Office will allow card holders to perform transactions equivalent to the amount utilized for the service.
7. DOP will be responsible to the demurrages due to official negligence otherwise the regular maintenance of the machine to be covered by AMC with SBI.