• Do you seek to make cashless payments at a PoS without the need to expose your debit/credit card details?


  • Are you equally reluctant to share your bank details such as account number, IFSC code while making or receiving payment?


  • Do you seek an alternative mode of instant cashless payment without the need to set aside some funds on a mobile wallet?


  • Are you looking for a cashless fund transfer channel that is instant, safe, secure, economical and that can be accessed every time, everywhere?


  • Are you the ' not so tech-savvy' kind in an increasingly digitised world and are seeking a simple, easy-to-understand process to execute cashless transactions?

UPI, unified payments interface is the answer to your unmet needs.

With just a single-step process,  by simply using your smartphone to download the mobile payment app, an account with a UPI member bank, and a virtual id of the recipient, you can send funds instantly, free of charge, every time, everywhere within India. 

All you need is to just enter the beneficiary's mobile number, Aadhaar number, or Virtual Payment Address (VPA) to transfer funds. 

Each single UPI transaction has a maximum threshold limit of ₹1 lac.

Developed by NPCI, National Payments Corporation of India (NPCI), and governed by the RBI, this parent entity is the reckoning force behind accelerating the pace of retail digital payment within India.

Let us understand the nuances of creating a UPI Account.

  • To begin with, you require:
    • Smartphone
  • Your account with a  UPI-member bank. Most banks in India ( ~216 in number) are UPI member banks.
  • Updated registered mobile number with the UPI member bank. 
  • Once you have these prerequisites in place, you need to download the UPI app on your smartphone. You can select from a variety of options such as BHIM, Gpay,  PhonePe, Paytm, etc.
  • After downloading this app, you then have to create your virtual ID akin to your unique identity which can be used for UPI-based transactions.
  • Now you will receive an OTP on your registered mobile from the bank.
  • Upon validation of your account, you can now create your Virtual Payment Address or VPA which is very similar to an email syntax. 

For example: abc@sbibank. You can link different bank accounts to the same VPA. Every member bank has its unique UPI app.

As an empirical example, let us explore the nuances of the  BHIM SBI Pay app.

  • The app can be easily downloaded from Google Play Store or iOS App Store.
  • It can also be accessed by non-SBI account holders with a precondition that at least one bank account and your mobile number has to be linked to that account. The debit card should also be linked to the bank account.
  • Once you have registered with BHIM, you require MPIN to make a payment which can be generated by furnishing your debit card details.
  • Just simply log in to the app and navigate to the management section.
  • You need to select the account for which you want to set mPIN.
  • Key in the last 6 numbers of your debit card and also its expiry date.
  • An OTP would be sent to your registered mobile number.
  • Lastly, key in the OTP details to create your mPIN.

To transfer funds with BHIM:

  • Begin with entering your 6-digit login password after logging into the app.
  • Navigate the home page to select the ‘payment’ section.
  • Now click on the account from which you would like to transact from the drop-down menu.
  • Next, type the VPA of the beneficiary, whose name will then show up for validation purposes.
  • You then type the amount and remarks and press 'pay'.
  • A new page opens up, wherein you type your mPIN.
  • Finally, a transaction will occur only if you have typed the correct mPIN.

To receive funds via BHIM:

  • To begin with, login to the app home page and select the 'Collect'  tab.
  • Now type the VPA of the sender using the MPIN and enter the amount and remarks.
  • Upon acceptance by the sender, you will receive a notification.


What is the main difference between UPI-based fund transfer and NEFT/RTGS mode?

In the case of the UPI channel, to transfer funds to the beneficiary's account, all you need is their registered mobile number, Aadhaar Number, or VPA.

Whereas other digital channels such as NEFT, and RTGS require beneficiary details such as account number, IFSC, and other details. 

Is it possible to connect my mobile wallet to BHIM?

No, with BHIM,  only your bank account can be linked to the same.

What is the process to resolve any issue or query that I may face with this interface?

  • In such a scenario, just simply log in to the app and navigate to the ‘My UPI Transactions’ heading.
  • Click on the ‘Raise Query’ tab and then select the type query and then key in the remark.
  • Upon verifying the details press Submit’.

Is it possible to transfer funds abroad through this interface?

No. Currently, this facility is available only for domestic fund transfers.

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