UPI stands for “Unified Payment Interface,” it is a secure, safe, and convenient mode to initiate electronic/digital payments transactions. UPI became a popular mode to receive and send payments digitally; it allows an instant payment transfer between two different bank accounts.
Since demonetization in 2016, UPI payments have been accepted and gain more and more popularity in India; though it has existed long before.
What is UPI ID?
When you want to transfer funds from one account to another, you need details like the account number, bank name, and address, IFS Code of the beneficiary’s bank, which will be a lengthy process to initiate payments each time. UPI is considered as the advanced version of IMPS (Immediate Payment Service).
Whereas, UPI gives you the liberty to transfer funds without these above details. All you need is UPI ID, and payment will be initiated to the beneficiary’s account. UPI is also called Virtual Payment Address (VPA).
In India, many UPI-enabled apps allow you to receive and send money instantly. UPI-enabled apps like Google Pay, BHIM UPI, PhonePe, Paytm, Freecharge, Amazon Pay, Mobikwik, etc., are the most common app in the country. All these apps allow you to transfer funds via UPI “Unified Payment Interface.”
Further, some banks provide mobile applications by which you can transfer funds instantly. These apps are also UPI-enabled. Banks like DBS had digibank that enables you to transfer funds instantly.
Every app partners with some bank to handle UPI transactions and use the UPI Handle of the bank such as @oksbi, @okhdfc, @icici, @okaxis, @ybl, @kotak, @paytm, etc.
How to create a UPI ID?
You know what is UPI ID, so what next?
You need to know how to create a UPI ID or how to find it. Regardless of the UPI-enabled app, you choose; you have to follow similar steps to find or create your UPI ID. Just follow the below steps:
- Download the preferred UPI-enabled app on your smartphone. Open it and it will prompt you to set a four-digit app code (i.e. Password).
- If you are using a dual SIMs Smartphone, select the number which is registered with your bank account. The app will verify your mobile number, on its own.
- Then select your bank. Once your mobile number and bank accounts are identified, your UPI ID will display on the screen. Let’s say, your mobile number is 8888888888; your UPI ID will be 8888888888@upi.
- That’s it, all done. You have successfully created your UPI ID.
Who initiated the UPI fund transfer?
UPI fund transfer is an initiative by the National Payments Corporation of India (NPCI) along with the Reserve Bank of India and Indian Banks Association (IBA).
NPCI handles RuPay payments infrastructure, i.e. similar to Visa and MasterCard. It also allows different banks to interconnect and transfer funds.
Immediate Payments Service (IMPS) is also an initiative of NPCI, whereas UPI is considered as the advanced version of IMPS.
Banks that support UPI Transfer
The major banks that support UPI transfer services are as below:
- State Bank of India (SBI Pay)
- ICICI Bank (iMobile)
- HDFC Bank (HDFC Bank MobileBanking)
- Axis Bank (Axis Pay)
- Bank of Maharashtra (MahaUPI)
- United Bank of India (United UPI)
- Vijaya Bank (Vijaya UPI)
- Union Bank of India (Union Bank UPI)
- Federal Bank (Lotza)
- UCO Bank (UCO-UPI)
- Yes Bank (Yes Pay)
- Karnataka Bank (KBL Smartz)
- Punjab National Bank (PNB UPI)
- Bank of Baroda (Baroda MPay)
- South Indian Bank (SIB M-Pay)
What are the Salient features of using UPI?
- Online payments are simplified and the Unified Payment Interface (UPI) allows secure digital payments.
- It is a convenient way of receiving and sending money without sharing your bank account details.
- You can use UPI to make payments at retail outlets or initiate fund transfers.
- Pay your greeting services, food delivery services, and shopping sites with UPI payments for instant fund transfer.
- Pay at the nearest restaurants, grocery stores, and departmental stores online.
- Pay your bills, rent, mobile recharge, and other utility bill payments can be done online instantly.
How to find UPI ID in mobile banking applications
In mobile banking applications, the process of finding and creating a UPI ID is slightly different.
- First of all, you will have to verify your registered mobile number.
- Once verified, the app will prompt you to set a 4-digit PIN.
- You can find your UPI ID under the “My Profile” section of the UPI app.
- The typical terminology for UPI IDs for bank apps is yourname@bankname.
- Though, you have the liberty of changing your UPI ID as per your liking.
Troubleshooting the “UPI Registration Failed” Issue
If you are unable to register the UPI ID, you can try using the below steps to troubleshoot the problem and solve the registration issue accordingly.
- Check your mobile number, whether it is registered with your bank
- Change the slot of your SIM card
- Use mobile internet data instead of Wi-Fi while creating your UPI ID
- Disable the VoLTE option on your Smartphone
- Provide necessary permissions
UPI has made life easier for many. Though, many apps are coming up every day that supports UPI payments. You need to verify your bank account information to generate a UPI ID on the app before you begin transactions.
By using UPI, money transfer is literally at your fingertips, and sending or receiving money is not only quick but safe as well.
Further, you do not need to remember or share bank account details every time while initiating a fund transfer. All you need to know is the UPI ID, and make payments with the most secure, seamless, and hassle-free transactions.