The development of cell phones labelled the growth of internet payments in India. It also established new payment facilities to support digital transactions. With the launch of the Unified Payments Interface (UPI), payment systems have progressed significantly. UPI is an actual payment portal generated by NPCI (National Payments Corporation of India). UPI Autopay provider is growing rapidly after a slow beginning with leading sellers.
UPI AutoPay is a technology that enables consumers to activate e-mandate for regular payments such as cell phone bills, utility costs, EMI instalments, insurance, and investment firms without requiring a PIN using any UPI service.
Customers and retailers gain from the UPI AutoPay tool since UPI mandates are created instantaneously and funds are debited promptly on the scheduled date. One-time, daily, weekly, biweekly, monthly, bi-monthly, quarterly, half-yearly, and annually recurring transactions can all be mandated by a company.
Marketing strategies based on subscriptions are becoming more prominent for the reduced decline margins and more prompt recurring payments they provide.
The UPI AutoPay technology will help to accelerate UPI’s existing development as a payment method and repeating transactions as a business strategy.
UPI AutoPay, for the inexperienced, is a fantastic NPCI development that allows users to make repeating transactions using a UPI-linked bank account.
It will empower your clients to set up auto-pay for any regular digital billing.
Customers who make regular transactions of up to Rs. 5,000/- using UPI AutoPay would not have to provide their security pin. For example, regular payments of up to Rs. 5000/- can be made for power bills, cell phone bills, insurance rates, mutual fund SIPs, home/vehicle EMI payments, and so on.
Both consumers and retailers benefit from UPI AutoPay. Users may set UPI mandates in seconds and have their payouts debited automatically on the agreed-upon date. Businesses, on the other hand, profit from prompt payments from their consumers.
UPI autopay allows you easy transaction of digital money.
How UPI AutoPay Functions?
- A retailer that wishes to provide recurring payments with UPI AutoPay has to enrol with a recurring payments service provider like Cashfree that supports UPI AutoPay.
- The retailer can provide the customer with the choice of creating an e-mandate using their UPI ID, QR code, or Intent.
- The customer may start a UPI app, proceed to the mandate area, examine the mandate information, choose the bank card, and input the UPI PIN to authorise the e-mandate after getting the e-mandate permission request.
- When a client registers, the bank account associated with the UPI ID is automatically debited, and the funds are sent to the seller’s account in accordance with the recurring payments conditions.
Important Characteristics of a UPI Application
Below-mentioned are the features that make UPI Autopay so appealing —
- Make digital payouts to vendors in a safe and secure manner,
- Using a VPA, you may send and receive money (Virtual Payment Address),
- Funds may be moved any time you want.
- For quick payments, you may connect your UPI ID to any bank account.
- Online transactions that are hassle-free and do not require you to provide your bank account information every time you make payment.
Why Is UPI AutoPay On The Rise?
Consumers benefit from UPI Autopay since it is a simple and secure solution to make regular transactions. UPI applications provide a simple user experience that makes it simple to perform digital transactions. Several bank accounts can be linked to a single app, similar to a digital wallet. The payment is, however, deducted straight from the bank account. You are not obligated to have a payment card on hand. UPI transactions are also safe. You may use your Virtual Payment Address (VPA) to send money. While performing contactless payments with UPI applications, safety systems such as two-factor authentication and vendor verification give further protection. Here are some of the reasons behind UPI Autopay to rapidly gain popularity —
- Consumers can set up regular transactions in quantities ranging from 1 to 5000 rupees.
- On the UPI AutoPay enabled application, transactions may be effortlessly managed from an existing UPI account.
- Businesses can provide a variety of plans, including bespoke plans with various frequencies and sums (fixed or variable) based on consumer needs.
- Setting requirements do not necessitate any paperwork or documentation.
- Provide a safe and simple way to set up regular payments.
- Late fines and penalties are eliminated when payments are made on time, which is critical for any firm.
- Allow online clients to have a better shopping experience without having to brave the crowds.
- Consumers may use essential functionalities like Modify/Revoke/Pause after generating a mandate as needed.
To know more: https://blog.cashfree.com/what-is-upi-autopay/
UPI’s fundamental goal is to make online transactions simpler and more affordable to all, and it has accomplished this goal. On payments, UPI applications provide a variety of cashbacks and prizes. By detecting the receiver’s QR code and utilising their chosen UPI-enabled software, you may send money immediately from your bank account to another person via UPI AutoPay. In this digital age, having UPI Autopay at your fingertips may certainly improve your life.