How to set up UPI payments to pay digitally through a smartphone

UPI or Unified Payments Interface has seen an increased adoption since its launch in India in 2016. The locally-developed real-time payments system initially supported smartphones, running on Android and iOS, but the National Payments Corporation of India (NPCI) later expanded the functionality’s availability to support feature phones and devices without an internet connection. According to NPCI’s data, UPI transactions exceeded Rs 240 trillion in the July quarter, driven by easy access to fast cellular networks and affordable mobile phones. However, many mobile phone users are still not a part of the UPI network. Customers planning to use UPI for digital payments can follow this guide.

Select the UPI app: Google Pay (GPay), PhonePe, Paytm , and BHIM are the popular UPI payment apps. Download the preferred app from the Google Play Store on Android and the App Store on iOS.

Link Your Bank Account: Launch the app on your smartphone. Create an account using a phone number or an email address. You might need to provide your bank name, IFSC code, account number, and mobile number. The app will usually send an OTP (One-Time Password) to your registered mobile number for verification.

Create a UPI ID: The app will automatically generate a unique UPI ID based on your name and bank account details. However, some apps allow you to customise your UPI ID for easier recognition with mobile numbers or a mix of numbers and letters.

Set a PIN: Choose a strong four- or six-digit PIN for UPI transactions. This PIN will be used to authorise payments.

Start Using UPI: To send money, enter the recipient's UPI ID, amount, and a note, which is optional. Users can request by entering the sender's UPI ID and the amount. Many shops and vendors accept UPI payments through QR codes. Users can scan the QR code using the app's camera on both Android and iOS platforms.