Blog

How does UPI work?
Comments0

UPI stands for Unified Payment Interface (UPI). It allows transfer of money from one bank account to another bank account instantly with use of mobile phone, no need to go to bank account or use of internet banking. The money transfer via UPI works on 24x7 basis.

 

What you need to use UPI

To use UPI, you must have a bank account with a member bank, i.e., your bank should allow you to use the UPI facility. Some of the member banks include State Bank of India (SBI), HDFC Bank and ICICI Bank. You can check the list of member banks here.

Once checked whether you bank supports UPI payments. You need to download the UPI supporting app on your smart phone. Some of the commonly used apps offering payment via UPI method are BHIM, which is developed by NPCI, and there are some private players as well such as PhonePe, Google Pay, Amazon Pay etc.

 

Let’s Start the Process. We will be giving an illustration of BHIM UPI app, similar step could be conducted for other UPI apps: -

Step (1) Download and Install BHIM app from Google Play store or Apple App store

Step (2) Select your preferred language

Step (3) Select SIM which has mobile number that is registered with your bank

Step (4) Login by setting a 4-digit application password

Step (5) Select and link your desired bank account

Step (6) Set your UPI PIN by providing last 6 digits and expiry date of debit card

Step (7) Your account is now registered and ready to use. Send or request money and go cashless!!

Click here for a video description of the process to register on the BHIM app.

 

How to transfer money via UPI

There are three ways to transfer money via UPI - by entering the virtual payment address (VPA) example- mobilenumber@upi of the receiver, account number and IFSC code or QR code.

Once done enter the amount you want to transfer, review the details and click confirm.

Enter the M-PIN of the bank.

You will receive the status of the message which could be “Success” or “Failure”.

Happy Transferring!!


Author Image

Comment

Most Commented Posts

  • PC Jeweller Demerges its Expo..

    What’s the deal? PC Jewelers recently announced that it would demerge its Export Division and merge with its wholly owned subsidiary - PCJ Gems & Jewellery Limited. Company c..

  • Insurance- Introduction

    Risk and uncertainty are associated with life in some of the other ways. These risks and uncertainties are increasing daily because of the increment in the speed of life. For example, i..

  • Rail Vikas Nigam Ltd. IPO

      Offer Details Price band Rs 17-19 Per Equity Share Offer Open Date Mar 29, 2019 Offer Close Date Apr 03, 2019 Lot Size..

  • Tech Mahindra Buyback

    The Board of Directors of Tech Mahindra Ltd. approved a share buyback for its investors on Feb 21, 2019. The details of the buyback include: Ex-Date: March 5th, 2019 Record Date: Marc..

  • BHEL Buyback

    The Board of Directors of BHEL approved a share buyback for its investors on Oct 25, 2018. The details of the buyback include:  Record Date: November 6th, 2018 Buyback price: Rs...