In India, demonetisation occurred last year which totally transformed the overall financial scenario prevailing in the country. This move has paved the pathway for digital payment systems that have been actively acknowledged by the modern age population. It has been analyzed that, the use of mobile wallets and plastic money has shot upwards in the past one year. Amidst these changes happening in the banking system, there is a particular digital payment mode which has emerged as a star to facilitate banking transactions quickly and securely. Yes, we are discussing about UPI or Unified Payment Interface.
It is a present-day payments system which has been launched to accommodate safe & swift transactions all across India. The best part about UPI app is that, it permits multiple bank accounts associated to a participating banking organization to be operated via this solo mobile app.
UPI app amalgamates several banking features, together with protected fund transfer as well as merchant payments over a single platform. The best part is that, this app is compatible with various mobile phone platforms such as Android, iOS and Windows; thus connecting a major banking crowd present in India.
Functionality of UPI
The primary use of UPI is to send/receive money in an instant manner. Initially, you simply have to download the UPI app of the contributing bank, and create a unique VPA (virtual payment address). Moreover, you will also have to fix an M-PIN or mobile pin for safeguarding the app. You can call the VPA just like your email id, which can be centered at your name or even mobile number.
- Do remember that, the app can be from your own bank or offered by any of the 30+ listed banks associated to UPI in India. Let us take the case when you wish to send funds to someone using your HDFC Bank account. In order to process this you can use your participating bank’s UPI app for making the transfer without any hassle.
- Moreover, you can even access any different participant bank’s UPI platform to send the money. Interestingly, you can also utilize the UPI app for transferring or accepting money into your own accounts from other banks. Just make sure that, the banks from which funds are being delivered to your account are listed members of the UPI system.
- For transferring funds, you simply have to enter the recipient’s VPA together with the amount that needs to be transported. At last, verify the operation by providing your M-PIN. Within few seconds the transaction would be completed. Another great feature of UPI is that, a customer can transfer money to a candidate who doesn’t use the UPI app. To make this happen, you only have to know the beneficiary’s bank account number as well as IFSC code.
In order to receive more knowledge about speedy fund transfer using this app, you can contact the UPI customer care number managed by the respective bank or banking organization.
Advantages of UPI Over Other Payment Systems
Below mentioned are some of the striking benefits of UPI facility which makes it a suitable fund transfer option:
24×7 availability: It should be known that, the UPI platform has been formed over the IMPS platform, hence you can transfer/receive funds using it. Moreover, there isn’t any restrictions associated to transaction hours or holidays, since UPI fund transfers can be made 24×7.
No hassle for recording new payee: UPI doesn’t include any provision for adding new payees. This helps to save precious time and reduces trouble for the user. One only requires the VPA for simply proceeding with the transaction. In case the VPA isn’t available, you can access the IFSC code and account number to instantly transfer funds.
Greater limit compared to mobile wallets: It is known that, mobile wallets offer a limit of INR 20,000 for transactions managed in a single month. Moreover, you are required to complete the KYC with the companies managing these mobile wallet to access transactions post the stated limit. However, INR 1 lakh is the upper limit per transaction under UPI.
Zero transaction charges: Presently, all banks which are offering UPI service do not charge a single penny. However, fund transfers via NEFT are valued INR 2.5 (minimum) for every transaction, whereas fund transfer using IMPS costs INR 5 (minimum). Even though, mobile wallets also provide money transfer facilities for free, but charges are applicable on the money transferred through your wallet to the linked bank A/c.
UPI Support Team
If you face any major issue with the UPI app, the primary source of contact is the support team managed by the respective bank. Suppose, you have picked up the UPI service offered by SBI Bank. In this case, you can directly place your query with SBI customer care that will redirect your call to their efficient UPI customer care team.