How UPI Autopay Can Upgrade your Daily Transactions Effectively

UPI AutoPay is a recurring payments system introduced by the National Payment Corporation of India (NPCI) as part of UPI 2.0 on July 22, 2020. Currently, the feature is live on the systems of four PSPs and 37 banks.

Understanding UPI Autopay

UPI AutoPay is a feature that allows users to make recurring payments using any UPI application. Customers can now enable e-mandate for recurring payments such as EMIs, cell bills, electricity bills, paying DTH bills, booking bus passes, OTT memberships, insurance, and mutual funds, among other things.

Customers can use UPI AUTOPAY to provide recurrent e-mandates for recurring payments such as cell bills, power bills, EMI payments, entertainment/OTT subscriptions, insurance, mutual funds, and loan payments, and paying for transit/metro payments, among other things, up to 2000 INR. Customers must complete each mandate with their UPI PIN if the sum exceeds 2000 INR.

How does UPI AutoPay function?

Since the introduction of UPI AutoPay, all major UPI applications have included a ‘Mandate’ option. Customers can utilize this option to create, approve, alter, stop, or withdraw an auto-debit requirement.

E-mandate can be set up to automatically debit payments from your debit card or net banking account. While banks work on a single platform to allow you to register for payment auto-debit, you can currently set e-mandates for multiple platforms.

UPI can also be used to set up UPI autopay for subscriptions. Like Jio and Hotstar, some platforms already provide UPI autopay for recharging your phone or subscribing to their plans.

The following are the processes involved in using UPI AutoPay:

• The customer selects a subscription plan.
• A transaction is approved by the customer using a UPI PIN. (This is a one-time transaction authentication operation.)
• Recurring payments are automatically deducted, with no additional action required from the customer.
• Customers have the option to delay or cancel mandates at any moment using the UPI app.
• Customers can set up regular payments daily, weekly, fortnightly, monthly, bi-monthly, quarterly, half-yearly, yearly, or as per their needs.

The Advantages of UPI AutoPay

• UPI Autopay is advantageous to users because it is a convenient and secure method of making regular payments. Here are some of the advantages of using UPI AutoPay:
• Payments can be easily automated from an existing UPI account using the UPI AutoPay-enabled app.
• Customers can set up regular payments in denominations ranging from Rs. 1 to Rs. 2000.
• Businesses can provide various plans, including custom plans, with varying frequencies and amounts (fixed or variable) based on consumer needs.
• Provide a safe and easy way to start regular payments.
• Setting mandates do not necessitate any paperwork or documentation.
• Late fines and penalties are avoided when payments are made on time, which is critical for any firm.
• After setting a mandate, users can use important functionalities such as Modify/Revoke/Pause.
• Allow online clients to have a better shopping experience while reducing the need for them to walk out in the crowd.

UPI AutoPay is simple to set up and has a slew of features that make it one of the most sophisticated recurring payments systems available.