National Payments Corporation of India (NPCI) developed UPI in 2016. It allowed to access multiple bank accounts in a single application. And also called the Indian Instant Payment System we will transfer money using one mobile app only. In this blog, we will learn All About UPI | UPI ID | UPI Transaction and more.
What is a Full Form of UPI?
UPI full form: UPI stands for "Unified Payments Interface" UPI delivers smooth and best secured payment transactions online.
UPI ID
Unified Payments Interface ID or UPI ID is a "Unique Identifier" for bank accounts in India. That allows you to receive or send money using UPI.UPI IDs are (VPA) virtual payment addresses it is like email addresses for example "Name@Bank Name" or Mobile Number@Bank Name.
Also Read: Voter ID Card Download with Photo
UPI Charges
As of April 1, 2023, there is an interchange fee of 1.1% for UPI transactions that exceed RS. 2,000 made via prepaid payment instruments (PPIs). This fee applies to merchants who receive payments through PPIs, such as mobile wallets. However, normal customer transactions or UPI payments from one bank from one bank account to another are free.
UPI Limit Per Day
According to the NPCI, the daily transaction limit is 1 lakhs. It may vary from bank to bank, and some of the banks set limits per week or per month. the RBI raised the limit for UPI payments to hospitals and educational institutions to 5 lakh on December 8, 2023.
UPI Lite
UPI Lite known as a digital account designed by National Payments Corporation of India (NPCI). In this feature we can make small value of transactions faster & easier. And UPI Lite is a one of the version of the UPI. UPI Lite is designed for low value transactions, and limit is Rs 500 per transaction and Rs 4000 per day.
FAQs
Q1: Is UPI Secure?
Ans: UPI is a secured through multi-factor authentication, and also MPIN (Mobile Personal Identification Number) and biometric methods.
Q2: What type of transactions can be done using UPI?
Ans: UPI support bank to bank, merchant payments, bill payments, and recharges much more. And also use UPI for requesting money from others.