Do you know the UPI Full Form? The Full form of UPI is the Unified Payment Interface. In this article, we have explained everything about UPI.
With India going cashless and digital, various platforms and reforms are been boosted for the process.
UPI- Unified Payments Interface is one of the digitally introduced platforms.
You can directly send money from –
- A smartphone
- Anywhere
- Anytime
UPI is a payment mode and the smartphone acts as a medium of virtual payment mode.
What is UPI?
UPI is identified as your financial address and remains unique to every single individual. It helps to transfer/receive/ pay funds instantly even on holidays.
Launching
UPI was introduced by NPCI ( National Payment Corporation of India) in 2005. UPI has been framed by NPCI in conjunction with the Indian Banks Association and Reserve Bank of India similar to the mechanism of RuPay.
Work Mechanism Of UPI
With transferring money with UPI you need the transferees Aadhar Number or Phone Number registered with the bank.
- To avail of this facility you might need the following things:
- A smartphone
- A working internet connection/data plan
- A Bank Account
- An active phone number linked to your Bank Account
Once the following above things are achieved the next step is to set up a UPI ID. A UPI ID needs to be set with any App that supports it. Starting with the phone number and ending with the App being used for it, looking somewhat like 98XXXXXX@paytm.
- To avail the same you might need to follow the given steps:
- Choose an App that works properly on your phone
- Give out your Bank Account Details
- Type the OTP to ensure that you are not a Robot
- Enter a PIN to secure your ID
- Select a contact and send/ receive money
- UPI Mechanism works in 3 ways to send/ receive money
- By scanning QR Code displayed
- By entering the UPI ID of the sender /receiver respectively
- By adding receivers Account Numbers and IFSC codes.
Features Of UPI
Any app that supports UPI can function the same way as mediums used earlier like RTGS, NEFT
- Overdraft Account: Current and Savings Accounts of users were only linked to their UPI ID previously but now they can access Overdraft Accounts as well.
- Invoice Verification:
- One-Time Mandate:
Benefits Of UPI
There are many benefits of UPI. Some of them are mentioned below:
- Customers
- Single App for all Bank Accounts
- Single Click Authentication
- Easy and Instant Bank Transfers
- Banks
- Single Click two-factor authentication
- Seamless Merchant Transactions
- Merchants
- No Bank Details to be shared
- Receipt of funds available instantly
Registration Of UPI
- Downloading The BHIM App (Bharat Interface for Money)/ Bank App / Third-Party App
- Creating your profile with the required details
- Linking the Bank Account with your Virtual Private Address and complete the procedure of Registration.
Generating UPI MPIN
- Selecting a Bank Account from where the transactions need to be done
- OTP is sent to the registered phone number and the last 6 digits of the Debit/Credit Card needs t to be entered with the Expiry Date
- While entering the UPI it leads to generate UPI MPIN of 4 digits
- Click SUBMIT and choose SUCCESS received through a notification.
Transactions Using UPI
Below I have described the topics which would help you to understand how to transact using UPI.
- Transfer Money
- The UPI App needs to be opened and logged in through using M-PIN
- Select the “Transfer / Send Money” option.
- Entering the beneficiary’s Account Details
- Entering the Amount to be Transferred
- Entering the UPI PIN to confirm the payment
- Instant Transfer of Amount with a confirmation message.
- Request Money
- The UPI App needs to be opened and logged in through using M-PIN
- Select the “Request” option.
- Entering the Payees VPA from the existing list
- Entering the UPI PIN to generate a request and the same will be directly sent to the payee.
- By clicking “Approve” the payee can directly make the payment by entering his UPI PIN
- Payment
- The UPI App needs to be opened and logged in through using M-PIN
- Select the “Payment ” option.
- Go to Biller Category and add a biller
- Entering the Amount to be paid for the bill
- Entering the UPI PIN to confirm the payment
- Instant Payment of Amount to the Biller with a confirmation message
Why UPI Over Others?
UPI | OTHER PAYMENT INTERFACES |
Free transfer of money | 5% charge for each transaction |
Transfer Instantly | Takes 24 Hours |
Requires a PIN Number | Account Number, IFSC Code all details required. |
UPI Charges
NCPI used to charge Rs. 0.50 per transaction earlier. But as of now, no nominal amount is charged. The government in order to promote digital transactions has removed all charges. The Banks providing this facility too do not charge anything since they want to promote the App.
Security Of UPI
Currently handling Rs. 8000 Crore Equivalent Transactions with bandwidth to carry it on, the App is highly been encrypted. A 4- digit UPI PIN secures the transaction in UPI App, the same way an OTP secures a Debit Card.
FAQs: Unified Payment Interface
What is UPI payment?
The UPI is and interface where you can transfer money between bank accounts. You can send or recieve money, you pay the bills, do payments.
What is UPI ID number?
An UPI ID number is an unique identification number for a dpecific bank account that is used by user to send money and they also recieve by same number.
How can I send money to someone who is not registered with UPI?
You can send the money by entering the receiver Account holder’s name, Account Number, IFSC Code.
Is there a daily limit in UPI?
Yes, you can transfer the amount up to Rs. 1,00,000 or 10 transactions in a day.
What happens if I enter the wrong PIN Number?
The transaction will not carry forward and will fail. No amount of money will be deducted from the account.
Summary: UPI Full Form & Details
So, we discussed that UPI’s full form is Unified Payment Interface.
UPI – a payment gateway and acts as a smartphone application based on IMPs that functions 24 x 7. Just as SMS works, UPI works in the same way by sending and receiving funds.
You may also like to read:
India Full Form
Full Form Of IPS
Full Form Of BHMS And MBBS
DHLS Full Form
Full Form Of PGDM
Full Form Of ITI
Full Form Of IAS
Full Form Of CSAT
Other related categories:
Latest Articles worth reading:
- Full Form Of UPSC In English and Hindi With Eligibility Criteria
- Top 18 Books on Power & Influence Everyone Should Read in 2024
- Grammarly Review 2024: Why I Use It Even After 5 Years?
- GrammarlyGO Review, Tutorial, And Pricing
- How to Use Bing Image Creator to Generate AI Images
- QuillBot Review 2024: My Experience And Useful Tips
- 10 Best Rytr Alternatives 2024: Rytr.Me Competitors To Try Today
- 5 Ways – How To Find The Publisher Of A Website
- Grammarly Pricing & Plans: How Much Does Premium Cost?
- 15 Best Online Quiz Maker For Teachers (Test Makers Online) Free & Paid