Electronic Payments: System Benefits

The content of the article

Most Internet users are actively using virtual payment systems. Electronic money is suitable for instant payment transactions in the system from your wallet and many replace bank cards or accounts. There are a large number of Russian and foreign online systems with which you can easily pay for purchases, receive transfers and more. Before you start using virtual money, it is worthwhile to study in detail the features of different services.

What is electronic money

Not every Russian is familiar with the concept of virtual money and the possibilities for their use. It is worth noting that this type of replacement of rubles or foreign currency differs from coins and banknotes in that their owner stores them on a separate “virtual” resource. Electronic money is the obligation that the issuing organization assumes in the form of funds held by the user stored on an online resource. This segment is part of the virtual payment systems market..

The definition refers to a transaction, it is performed through digital communications. A user’s virtual money can be a debit or a loan. They are not traditional money in a common currency, but represent means of payment, certificates or checks (this may depend on the rules of the law and the specific EPS). Functions of settlement instruments do not differ from coins or bills issued by the Central Bank.

A man in front of a laptop with a smartphone in his hands


With modern monetary systems, such means of payment are perceived as money that cannot be exchanged, have a credit basis, serve for settlements, circulation, accumulation, and have a certain level of reliability. Virtual money has the following characteristics:

  • fixed value in the framework of EPS;
  • the possibility of use for various payment transactions that are considered final after the implementation.


In virtual money, properties are based on traditional and relatively new:

  • portability;
  • liquidity;
  • divisibility;
  • universality;
  • durability;
  • convenience;
  • anonymity;
  • safety.


The phenomenon of virtual money began to be studied by financial organizations since 1993. Initially, prepaid plastic cards were considered electronic means of payment. As a result of the analysis, virtual cash acquired legal status in 1994. Studying the technological schemes of using prepaid cards, banks decided that the distribution of such payment systems will require constant monitoring of their development and changes. This is to maintain product integrity..

Since 1993, the active development of virtual money began, not only based on smart cards, but also based on networks. Three years later, European central banks decided to monitor the EPS of different countries of the world. After that, the analysis of the development of virtual money became a traditional process. Initially, the monitoring data were confidential, but since 2000 they have been made publicly available. At the moment, residents of 37 countries constantly or periodically use virtual money.

Digital money in Russia

In the territory of the Russian Federation, for 13 years, online money has evolved from magnetic plastic cards, which were issued by individual organizations, to global Internet systems. Already in 1993, the Russians began to use the first similar money. About the same period, the first references in the press about money based on smart cards are dated. Until 1999, payment systems were actively developing, displacing banking products from the market. In the 2000s, network-based electronic money began to be used..

Types of Electronic Money

As a rule, the following classifications apply to any virtual money:

  1. Contact Method: Smart Card Based / Network.
  2. Access Level: Anonymous / Personalized.
  3. State influence on digital money: fiat / non-fiat.

The basis of electronic money

In Russia, the following payment systems are the most popular:

  • Yandex money;
  • MoneyMail;
  • QIWI;
  • Skrill (formerly MoneyBookers);
  • WebMoney;
  • Rapida;
  • RBK Money;
  • Pay Pal;
  • Mondex,
  • “Wallet One”;
  • Z-Payment;
  • Liqpay
  • PayCash
  • Easy pay.

Smart card based

This type of digital money is plastic media with a microprocessor, on which is written the equivalent of the cost paid by the client in advance to the issuing organization. Cards are issued by banks or non-banking organizations. With the help of plastic, the client can pay for purchases and services at all points of reception of such a payment instrument. Cards are issued multi-purpose or company (telephone, for example). The tool is suitable for making a payment transaction or withdrawing funds through an ATM.

Among the variety of plastic cards, two types are distinguished: debit (for storing own funds, savings, payments) and credit (the owner of the plastic spends money within a certain limit, which will then be reimbursed to the issuing organization). A popular option for digital cash based on smart cards – products of VisaCash and Mondex payment systems.

Network Based

To use this option of cash, the user needs to install a special program on his smartphone or computer. Money is suitable for purchases in online stores, virtual casinos, games and other operations. They are multi-purpose and are accepted not only by issuing organizations, but also by other companies. Among the most famous electronic payment systems based on networks, one can distinguish: Yandex.Money, Webmoney, Cybercash, Rupay. This type of service has a high level of security..

Fiat and non-fiat money

There is another classification of virtual money. They are divided into fiat and non-fiat. The first variety includes the monetary units of a particular country expressed in national currency. The issue, circulation, cashing out and conversion of fiat money is provided by state legislation. The second option is the currency issued by a private payment system. Government bodies in different countries control the issue and circulation of non-fiat money to a certain extent. This option relates to a variety of credit money..

Legal status

Since September 2011, electronic payment systems have been controlled by federal law No. 161. It reflects all the requirements for issuing organizations and conducting cash transactions. Previously, this industry was controlled by different laws, but with the entry into force of the project “On the National Payment System”, it became the single document regulating relations between the parties.

From a legal point of view, electronic money is an unlimited obligation of the issuer to users of payment systems. Issue of funds is carried out as a credit limit or the amount of liabilities. The circulation of virtual money is carried out by assigning claims to the issuer. Accounting is carried out using special software or electronic devices. As for the tangible form of virtual money, it represents information that is available to users around the clock.

The economic status of virtual money is a payment instrument that possesses the properties of traditional funds or payment instruments, depending on the chosen method of implementation. With cash, virtual currency is united by the fact that users can make settlements without using banking systems. With traditional payment instruments, electronic funds are similar in that a client can transfer an amount or make a payment without opening an account with financial institutions.

Electronic money and forms of their use

As a rule, electronic money is used in the field of online business. Consider this payment instrument as a form of market economy. With the help of virtual money, you can make settlements between customers and companies, while avoiding a lot of unnecessary expenses or loss of time. Due to the technical component, electronic payments are carried out instantly, which distinguishes this method from banking operations.

Internet payments

One of the reasons why Russians are starting to use electronic money systems is the ability to instantly pay online. The service is available around the clock. You can send money to any other accounts at the details of organizations, private individuals, to other wallets, in the form of payments for utilities or mobile communications, etc. All operations are saved by the system and tracked. Instead of the traditional client signature, an electronic digital signature is used – the most reliable way to protect user funds.

Qiwi payment terminal menu

Credit cards

Another option for using virtual money is credit cards. With the help of physical plastic media, the owner of an electronic wallet can spend virtual savings when paying for purchases in supermarkets, hotels and wherever credit cards are accepted. However, in this case, it is important not to transfer personal data to third parties, so as not to lose money. It is especially dangerous to save the details of such cards in online stores.


Quick service terminals and ATMs are another convenient way to use your virtual savings. To receive cash, you need to issue an online card in the payment system with bank details, but without a physical carrier. It is issued instantly and allows not only to receive cash through ATMs, but also to pay for purchases on the Internet. Using banking terminals, users can not only withdraw money from virtual wallets, but also replenish online accounts.

Bank checks

To receive cash at the cash desks of financial institutions, you can consider the option of using electronic savings, such as issuing bank checks. There are several ways in this case:

  1. Transfer of funds to a bank account with subsequent withdrawal.
  2. Transfer of virtual savings to a bank that will exchange them for cash.
  3. Sending electronic funds using the international payment system with the possibility of receiving at any bank.

How electronic payment systems work

Each system has its own principles of functioning. As a rule, the founders of such non-bank payment services enter their digital currency (Bitcoin, DigiCash, WebMoney, letters of credit, certificates, E-Gold). The fact is that it is illegal to consider electronic money in rubles or dollars. In fact, users can only hope that EPS takes care of its reputation, because there are no legislative guarantees completely.

The principles of operation of different payment systems are similar. The founders issue their own currency, after which a cloud financial structure is organized, which includes the following:

  1. The official Internet portal through which transactions are carried out on user accounts and registration of new participants.
  2. Electronic wallets with data on how much a particular client has.
  3. Online terminals or gateways through which to replenish user wallets.
  4. Some payment systems create their own network of ATMs or exchange points.
  5. It is imperative that EPS should establish cooperation with a financial institution through which the conversion of real money into electronic.

Wallet Opening

To create an online wallet, the user needs to fill out a questionnaire, indicating personal data and a phone number. It is worth noting that initially the client receives anonymous access to payments in the system, so passport data is often not checked. However, to go to a higher level and gain access to all the features of the system, you need to go through identification. Additionally, you can attach your bank card to the wallet. This option is not provided by the PayPal service, but in Yandex.Money or WebMoney payment systems, the service is available.

The procedure for using an electronic drive includes the following steps:

  • Registration in the selected system.
  • Installing a special program on a PC (for example, WebMoney Keeper and others).
  • Creating a virtual wallet or several at once (currency analogs).
  • Refill.

How to withdraw funds

If incoming and outgoing operations with electronic wallets are easy to carry out directly through the site, then cashing out the available money requires the help of a financial institution or an ATM. The withdrawal of funds is made to the account, card or mobile client at the bank details. In addition, the use of payment acceptance points is allowed. In this case, the user must transfer money to his wallet and receive a password for cashing.

As a rule, a client needs to:

  1. Have an EPS account.
  2. Be able to use special programs correctly.
  3. Obtain a sufficient certificate in advance (for example, formal or personal, certain types exist for servicing legal entities).
  4. Have the right amount in the account, taking into account the commission.

Yandex money wallet

Cashing out

Modern users who do not know how to withdraw money from an electronic wallet can use one of the following methods:

  1. Transfer through a financial institution with conversion to the equivalent of the desired currency, if necessary.
  2. Return of unused funds through EPS.
  3. Transfer of a legal entity to an individual.
  4. Standing order issued by the issuing organization.
  5. Through the guarantee.ru service.
  6. Sending an instant transfer to yourself / another person.
  7. Use of exchange points.

Advantages and disadvantages

The use of online systems has its advantages and disadvantages. Before you start a virtual wallet, you should familiarize yourself with them. Among the most important advantages are the following:

  1. the ability to make payments around the clock from anywhere in the world;
  2. instant operations;
  3. usability of systems;
  4. lack of need to stand in lines;
  5. high degree of protection against fakes;
  6. portability of virtual money;
  7. no risk of losing the appearance of notes during long-term storage of savings;
  8. complete absence of human factor (all payments reach the addressee).

Among the disadvantages of using EPS, the following should be noted:

  • there are commissions in operations;
  • there is a risk of breaking the wallet and stealing savings;
  • loss of funds in case of loss of data for authorization in the system;
  • lack of control over the activities of EPS by state services.
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