INTRODUCTION
UPI is acronym of “Unified Payment Interface.” It is an instant fund transfer application initiated by Reserve Bank of India. The interface is developed by national payment corporation which makes interbank transactions easier through mobile platform.
TABLE OF CONTENTS
UPI 2.0 Updated Version
Features of UPI 2.0 and Uses
Steps involved in creating and generating UPI account
Summary and Conclusion
UPI 2.0 Updated Version:
A short intro of UPI 2.0; was first launched in 16th August 2018. It helps in sending and receiving money for UPI enabled banks and also with overdraft account holders. UPI 2.0 is considered to be comparably best then previous version because it has some updated features and pros which make the application user friendly.
Transaction by UPI is carried out National Payment Corporation of India is abbreviated from NPCI, acts as an umbrella organization for maintaining retail payments and settlements systems.
Payment service provider (PSP) is the company which accepts all kinds of online transactions and electronics transactions like credit card; debit card; bank accounts; and real time bank transfer.
Transaction in UPI is deft by following approaches:
Virtual Payment Address/ UPI ID: Coupling is done between USI enable users to send and receive money transactions.
Linking the mobile number; account number using IFSC code; Aadhaar card of individuals to carry out transactions in secured way.
QR code is a kind of security alert created which plays vital role in transaction (OTP or any kind of security questions involves the above listed details).
Features of UPI 2.0 and Uses:
UPI 2.0 version can be linked with multiple bank accounts at once. It helps in increasing digital adaptation which reflects drastically in business sphere sectors and Peer-to Merchant transactions (P2M). Transaction limit is increased up to 2 lakhs. It has direct impact on P2M transactions.
The best updated theme is it can be linked with Overdraft Account Holders and also involved in Prior Transactions.
An overdraft holder is nothing but the retailer or third party can debit or credit amount to the other party even though the balance remains zero. The transactions are possible by fetching loan from the bank which can be repaid with interest as per bank terms and policies. Account balance eventually touches negative range which doesn’t stop the transactions.
Prior transactions is possible by deploying preauthorize method in which the transactions can be preplanned. Coupling process is done with respective users before; amount need to be transferred is coded and deposited in the Merchant 2.0 version. The user can also have the track on the transactions; clear update about amount debited and balance.
Insolvency can be avoided because of overdraft holders. As Key Auth (blocking amount in user card) feature is in practice, the same thing is followed in updated version of UPI 2.0. Single platform is used by the merchant for sending and receiving the amount (comparable with UPI) therefore avoids usage of separate mediums.
It also holds the memory of transactions; beneficiary history; clarity of transactions in detail so starting fresh transaction page each time is avoided.
Uses: It is essential used by business sectors; for better experience and transparency. Usage of UPI has reduced the usage of wallet and card to 14 percent.
Steps involved in creating and generating UPI account
Registration
Download the BHIM (Bharat Interface for Money) app/bank’s app.
Profile is created by adding details such as name, VPA, password, and UPI Pin.
Link the bank account with the VPA to complete the registration process.
Generating UPI
Select the bank account from which the transactions need to be carried out. Once the bank account is selected, you will be asked to generate your UPI Pin.
An OTP will be sent to your registered mobile number with the bank account. Enter the OTP to generate your UPI Pin.
Create your 4 digit UPI Pin which will be used for making all transactions.
Transfer Money
Open the UPI-based app and login to the app by UPI Pin.
Select the “Transfer/Send Money” option and enter the beneficiary’s VPA/Account Details/Mobile Number.
Enter the amount to be transferred and UPI Pin to confirm the payment.
Money is transferred instantly and a confirmation message is sent to the user’s mobile number.
Request Money
Open the UPI app and login to the app using the m-PIN or UPI Pin.
Select the “Request Money” option and enter the payee’s VPA/Select the payee’s VPA from the existing list.
Enter your UPI Pin to generate a request and send a payment request directly to the payee. The payee can make the payment directly by clicking “Approve” and entering his UPI Pin.
Bill Payment
Once logged in to your UPI-based app, select the option “Bill Payment.” Add a biller details to avail this service.
Enter the amount of the bill to be paid for the service registered.
Enter the UPI Pin to make the transaction further the payment will be credited to the biller instantly.
You can pay bills for mobile postpaid, water, electricity, DTH, broadband, gas, etc.
Summary and Conclusion
Thus UPI 2.0 version includes transactions ways which are benefited by all retailers; business Merchant sectors; online shopping’s and so on. This effective updates make the transactions in secured way; reduce time consuming; no need of carrying all bank details; especially involves simple steps which is understandable.
Comments