What is UPI?
UPI (Unified Payment Interface) is the payment infrastructure developed and governed by National Payments Corporation of India (NCPI). It allows mobile applications to interact with multiple banks and consequently supports most of the banking features across banks. With UPI enabled apps you can send or receive money and do merchant payments seamlessly.
What is the full-form of UPI? Unified Payment Interface
- Immediately transfer money from one bank account to another bank account 24*7 using a mobile app
- Support for money payment for purchases
- One mobile app to manage different bank accounts
- Check account balances and last transactions using mobile app
- Simple and secure money transfers and
- The most important is the money transfers are does not incur any transaction fees
What is NCPI (National Payments Corporation of India)?
NCPI is the government of India`s primary organization for monitor digital payments across India. It is based on guidelines from Reserve Bank of India(RBI) and Indian Banks Association (IBA).
What are the banks supporting UPI: Presently there are a selected bank in India which supports UPI and very soon all the banks operating in India will support UPI and hence all money can be transferred from any bank account to any other bank account and the app also can be used for merchant payments.
Bank of India, Bank of Maharashtra, Canara Bank, Syndicate Bank, Union Bank of India, United Bank of India and Vijaya Bank, Catholic Syrian Bank, Central Bank of India, DCB Bank, Dena Bank, Federal Bank, HDFC Bank, ICICI Bank, IDBI Bank, IDFC Bank, Indian Bank, Indian Overseas Bank, Allahabad Bank, Andhra Bank, Axis Bank, Bank of Baroda, IndusInd Bank, Karnataka Bank, Karur Vysya Bank, Kotak Mahindra Bank, Oriental Bank of Commerce, Punjab National Bank, RBL Bank, South Indian Bank, Standard Chartered Bank, State Bank of India.
How UPI works?
- UPI requires users to have a global address which can be mobile number, Adhaar number and bank account number
- Local address which is called as virtual address which is provided by your bank
- Once this is setup which can be done by any UPI app such as BHIM app and registering your mobile number and banks
- Using the app you can provide the mobile number of the user/merchant to which to transfer or receive money from along with the amount and then submit the transaction
- Merchants can display the QR code in their shop and customers can just scan the QR code and then transfer money to the merchant
More details on UPI: http://www.npci.org.in/UPI_Background.aspx