Undoubtedly, it is a well-known fact that with the advent of the Unified Payment Interface (UPI), India has taken a significant step toward achieving the goal of a cashless economy. Long gone are the days when people used to carry cash, as due to the rise in penetration of internet-enabled smartphones, one can quickly make payments, for example, a UPI payment, on the go. 

When was the last time you witnessed a rush at bank cash counters or ATMs, as cash withdrawals and deposits are just a few clicks away? Technology adoption for financial tasks via smartphone applications has made real-time fund transfers smooth. 

What is a UPI?

A single platform that merges various services of the bank and its features under a single umbrella. It is a real-time payment platform produced by the National Payments Corporation of India (NPCI) that supports online money transfers between bank accounts via a single application. 

Furthermore, the most lucrative factor of a UPI payment is that it is simple, instantaneous, free of charge, and can be made round the clock throughout the year. Only a UPI ID and PIN are sufficient to send and receive money. 

What are the benefits of UPI?

When it comes to digital payments, there are numerous benefits from round-the-clock availability to UPI pay later that pull more and more individuals to go for UPI only. 

• Round-the-clock

Gone are the days when people used to worry that a shop/outlet would shut down at a specific time and they would miss out on any pending payment. Factually, a UPI payment, which is done instantly, is available 24×7. It is pertinent to mention that it is faster than NEFT (National Electronic Funds Transfer) and IMPS (Immediate Payment Service). 

• Rewards

What is the other prime reason why people make more and more digital payments? Rewards such as cashback, points, etc. Many organizations offer guaranteed cashback or even some points, which can be redeemed for several kinds of coupons. 

• UPI Pay later

People often run out of funds or witness a low balance notification. However, the name says it all. It means you can easily spend over and above your bank balance on a UPI application by opting for Pay later and conveniently clear dues within a stipulated period and a reasonable rate of interest. 

How are UPI apps transforming the Indian payments landscape? 

Once you enter the era of digital transactions, there’s no going back to cash. So like, I’ll share my experience here. So I’ve been using the Bajaj Finserv application for around a year. Earlier, I used to switch between multiple applications for various kinds of payments but then discovered this all-in-one platform. 

Now, UPI payment via this application is effortless and smooth. Not only this, but due to the several benefits attached to it, such as cashback and rewards, I use it very often. This is what I’m saying that UPI applications have completely transformed the way we pay. 

From the barter system to trading through gold and silver coins, we are now in an era where we can transfer money in a few seconds with just a few taps on our smartphones. Today, every small businessman, taxi driver, or street vendor has a QR code to receive payments. 

Our country is moving towards becoming a cashless economy, and individuals do not prefer carrying cash anymore. When was the last time you made a cash transaction?