Cashless payments are the new trend. The UPI, or unified payments interface, helps you transfer money from one account to another through a single window. Now, you don’t have to carry a card around to make payments everywhere you go. This payment model enables you to use your phone as a debit card.
UPI platforms allow you to transfer funds without the requirement of giving one’s account number or their IFSC code. A UPI platform generally uses only your registered mobile number (linked to your bank account) and a virtual payment address, or VPA.
The QR codes can be quickly scanned to make payments to a business or an individual. Businesses primarily use QR code payments. All you need to do to use UPI is to install an application and obtain the payee’s UPI ID or virtual address.
Almost all the available UPI applications are free and can be set up instantly. A UPI pin and ID would be enough to make or receive payments. This payment method will eliminate your need to go through the painstaking deposit and withdrawal process.
How To Use QR Code Payments?
First, you must install the UPI app and set up your account. Once you complete this step, users must set their UPI pin. When you open your app, you will find a QR code scanner. Use this scanner to scan any QR code at shops where you want to pay through QR codes. Once you scan the QR code, you must enter the payment amount followed by your pin to complete a successful transaction.
What Is A UPI Pin And ID?
Think of your UPI pin as your debit card pin. Whenever you set up an account on any UPI application, you will be required to set a UPI pin (mostly of 4 or 6 digits). You have to remember this pin. It will be asked by the app every time you make a transaction. It only makes your payment much safer.
How Does UPI Work?
While the acceptance of UPI payment increases daily, several people remain skeptical about using this mode of payment. It has been seen that the younger generation has swiftly adopted this method of payment; the older generations are yet to catch on.
The main issue here is trust. Most people think that it will make their bank accounts vulnerable. Though this is true to some extent, you should understand how UPI works to understand the true benefit this software solution provides.
UPI has made the money transfer process seamless and secure. If you use UPI, you will not have to remember someone’s account number, CVV, and IFSC code or carry a large amount of cash or debit cards everywhere you go. Instead, you have to know the UPI ID of the individual to whom you will be making the payment. The process gets even simpler if you have made previous payments to the individual or business. Once you make payments, these UPI apps add them to the list of payees on your profile. Next time you need to carry out a transaction, you have to search for the person on your list and make a payment.
This payment model is very secure because it has essential features. First, you will never be required to enter your CVV. And the second one is that you have to enter the four-digit pin every time you open the UPI app. This prevents any unauthorized transactions from the application. It also locks your card payment for 24 hours if you enter the wrong pin more than three times in a row.
Even if your phone gets stolen or is misplaced, the thief will not be able to access these applications, even if they manage to unlock it, thus keeping your money safe.
If you are not yet using the UPI mode of payment, you must join the bandwagon now! Choosing UPI payments over traditional bank transfers will make your payment process hassle-free.