All About UPI (Unified Payments Interface)
The well known UPI (Unified Payments Interface) app now goes live and here is the full details about the NPCI’s Real Time Money Transfer System. National Payments Corporation of India (NPCI) offers Unified Payments Interface (UPI) facility and this is currently available for customers of 21 banks. All transactions will be very safe with no customer information collected.
What is UPI ?
UPI (Unified Payments Interface) is an app. This is a payment solution, in which the recipient can simply initiate the payment request from any android smartphone. There will be a virtual payment address for sending and collecting money. This works on single click 2-factor authentication. The UPI limit which is capped at Rs 1 lakh. This is also expected to go up to IMPS limit of Rs 2 lakhs.
Threshold Criteria for Banks to Get UPI
- Those banks with 1,000 customers
- Those banks with 5,000 transactions
- Banks features success rate of around 80 percent
Key Features of UPI ?
- Money transfers – both ‘Push’ and ‘Pull’ through smart phones
- Eliminating the need for providing detailed account/beneficiary details
- Use of virtual address facilitates customer convenience
- Interoperability of person-to-merchant payments (both push and pull)
- This can be used to transfer funds 24 hours
Working of UPI ?
UPI works different from the online payment system presently in use. Currently if you want to make any online payment, there is need to add the beneficiary details, individual’s name, bank account number, IFS code, etc. But with the use of UPI there is no requirement of this steps, you only need virtual payment address or the unique ID of the beneficiary. This can be your phone number with the name of bank. Before transactions make sure that these banks have their apps UPI-enabled. As per sources these apps will be soon available on Google Play Store by banks.
So in simple steps,
- Open the app and enter the unique ID of the beneficiary
- Put amount to be paid and the unique ID
- Then click ‘send’ button
List of Banks Which Supports UPI App Now
- Andhra Bank
- Axis Bank
- Bank of Maharashtra
- Bhartiya Mahila Bank
- Canara Bank
- Oriental Bank of Commerce
- Union Bank of India
- Vijaya Bank
- Karnataka Bank
- UCO Bank
- Union Bank of India
- United Bank of India
- Punjab National Bank
- South Indian Bank
- YES Bank
Benefits of UPI App for the Customers
The UPI allows payments easier and quicker. There is no need of entering numerous account/card details and multi-level interventions. You can enjoy highly secure hassle-free digital payments experience. There is a special option for scheduling push and pull transactions. You can use this facility for sharing bills. While using online shopping websites, UPI app instead of paying cash on delivery on receipt of product. Supported facilities includes paying utility bills, over the counter payments, barcode (scan and pay) based payments, donations, school fees etc.
Importance of UPI
- Cashless transactions will arrest generation of black money
- Increase the tax compliance
- Boosting the revenue for the government
- Makes online purchase simple