Things To Know About UPI

By - IndianMoney.com Research Team     21 September 2016

Times have changed….Days have passed when you would stand in a long line, just to pay your electricity and water bills. Today bills are paid in seconds. You want to send money to family and friends? Just send a text message. What…. a text message to send money? You must be joking. No… it is possible. The UPI makes it happen.

So what is this UPI?

Unified payments interface is popularly known as UPI. It is just a simple payment system like a cheque, debit card or your favorite mobile wallet. One of the greatest benefits of the unified payments interface… you can send money to family and friends, through a simple text message. However some banks have still to join this platform. Unified payment interface is live for the customers of 21 banks.

How to use the UPI app?

All you need is a bank account, an android Smartphone and a registered mobile number, which is linked to your bank account. Simply download any of the 21 banking apps from Google Play store, which supports UPI. Only banks offer the unified payments interface. Such a facility is not offered by mobile wallets. If you have more than one bank account, you can still link it to a single app. You can transact (send money), using a virtual ID. The virtual ID is something like this, xyz@bankname. xyz = your name.  bankname = name of the bank. Your bank account number and Aadhaar number remains a secret.

How do you transfer money?

Just get your virtual ID. It’s the easiest way. Simply use your virtual ID, to transfer money to your friends and family, if they use the UPI. You can also receive money, simply by giving your credentials, to friends and family. They would put money in your bank account.

You have many bank accounts?

Simply link all these bank accounts to your virtual ID. But there’s a small problem? What if you don’t have a virtual ID? No problem. You can still transfer funds using UPI. All you need is a bank account number, IFSC code or mobile number and Mobile Money Identifier (MMID) or Aadhaar number.

What if you lose your Smartphone?

UPI has a unique way of authenticating your identity. Yes…Your Smartphone. If you lose the smartphone, simply block your number. Never share your M-PIN with anyone…Not even your friends. It is a 4 digit code to authenticate your transactions. It is a personal code, which allows you to access Government applications. It’s just like a password.

Sent  money using UPI app, but it has not reached your friend

That’s no problem. If your account has been debited but your transaction has not gone through, your money will be transferred back immediately. You can raise a compliant, if you find the service unsatisfactory. But there’s a small problem….once you make a payment, you just can’t stop it. There’s one more thing you should know. If you change your UPI app, SIM or a phone, you would need to re-register the change. If you forget your M-PIN, you would have to generate a new PIN. However some banks allow you to retain your virtual ID.

Want to use the UPI? Better go through these important points on UPI. Want to know more on investments and loans. Simply look up IndianMoney.com. IndianMoney.com is India’s Largest Financial Education company, educating over 14000 people every day. To avail free financial advice/education from IndianMoney.com, all you need to do is, just leave a missed call on IndianMoney.com financial education helpline 02261816111 or just post a request on IndianMoney.com website. 

 

 

Under : Financial Planning