How Unified Paymants Interface (UPI) Work?

Unified Payments Interface (UPI):-

                                                          Unified Payments Interface (UPI) is a system that powers multiple bank accounts into a single mobile application (of any participating bank), merging several banking features, seamless fund routing & merchant payments into one hood. It also caters to the “Peer to Peer” collect request which can be scheduled and paid as per requirement and convenience.

##How is it unique?

• Immediate money transfer through mobile device round the clock 24*7 and 365 days.
• Single mobile application for accessing different bank accounts.
• Single Click 2 Factor Authentication – Aligned with the Regulatory guidelines, yet provides for a very strong feature of seamless single click payment.
• Virtual address of the customer for Pull & Push provides for incremental security with the customer not required to enter the details such as Card no, Account number; IFSC etc. QR Code
• Best answer to Cash on Delivery hassle, running to an ATM or rendering exact amount. Merchant Payment with Single Application or In-App Payments.
• Utility Bill Payments, Over the Counter Payments, QR Code (Scan and Pay) based payments. Donations, Collections, Disbursements Scalable.
• Raising Complaint from Mobile App directly.

Real-time payments with the Unified Payments Interface (UPI):-

       The Unified Payments Interface (UPI) is a revolutionary, user-friendly, real time
       payment solution that facilitates inter-bank transactions, and enables greater digital
       payments adoption in the country. Developed and launched by the National
       Payments Corporation of India in 2016, UPI is now one of the most preferred
       payment solutions in India, with over a billion transactions every month.
       UPI’s core function is to support easy and secure money transfers between bank
       accounts. It does this by adding multiple bank accounts into a single mobile
       application, allowing for seamless fund transfers and merchant payments from one
       place. It also enables ‘peer to peer’ and ‘peer to merchant’ collection requests, which
       can be scheduled and paid as requested.

     Payments can be made using a UPI ID, UPI Number, Account number, and an Indian
     Financial System Code (IFSC). Payment security is as per applicable RBI guidelines
     using a 1-click 2-factor authentication where the second factor of authentication is the
     UPI PIN. UPI is also available through the Unstructured Supplementary Services
     Data (USSD) channel to enable UPI members to cater to users of feature phones.

   Types of transactions supported by UPI
    A. Financial transactions

    UPI supports the following financial transactions:
    Pay Request:
          A transaction where the initiating customer ‘pushes’ funds to the intended beneficiary.
              Payment address includes mobile number and MMID, account number with IFSC, and
               Virtual ID.
   Collect Request:
          A transaction where the customer is ‘pulling’ funds from the intended remitter by using a
            Virtual ID.

  B. Non-financial transactions

     *   UPI will support the following types of non-financial transactions on any PSP app.
     *   Registration for mobile banking *
     *   One Time Password (OTP) generation
     *   Set/change PIN
     *   Transaction status check
     *    Raising disputes/queries
     *    Mobile banking registration is only possible if the mobile number (which is to be
           registered) is already registered with the issuer bank for SMS /mobile alerts.
          UPI can be accessed on all major platforms such as Android and iOS with apps
          developed by members for versions of Android 4.2.2 and iOS 8.1 and above