The National Payments Corporation of India (NPCI) has taken a leap forward with the introduction of the UPI Tap and Pay feature. This groundbreaking service is set to redefine the way customers make payments through the Unified Payments Interface (UPI). Let’s delve into the details of this innovative payment method that promises a seamless and convenient experience.
Unlocking the UPI Tap and Pay Experience
Starting the journey towards a cashless future, NPCI has initiated the process to roll out the UPI Tap and Pay service. This feature allows users to make payments by simply tapping their mobile devices on a payment machine, making the transaction effortless and automatic. NPCI aims to make this service available to UPI users by January 31, 2024.
If a user opts for the Tap and Pay feature by starting a UPI Lite account, transactions below INR 500 can be completed without the need for a PIN. However, for transactions exceeding INR 500, users will be required to input their PIN for added security. NPCI has issued a circular regarding this development, urging companies providing digital payment services to swiftly integrate and offer this feature.
Flexible Implementation for Companies
Companies providing UPI services have the flexibility to integrate the UPI Tap and Pay feature into their apps at any time. Currently, selected users can experience this service on platforms such as Google Pay, BHIM app, and Paytm. The Reserve Bank of India (RBI) Governor, Shaktikanta Das, had announced the launch of UPI Tap and Pay during the Global Fintech Fest in September of the previous year.
Transitioning to the Future: UPI Lite Accounts
Initiating a UPI Lite account unlocks the Tap and Pay feature for users. Transactions under INR 500 can be seamlessly completed, offering a swift and hassle-free payment experience. However, for transactions exceeding this limit, users must enter their PIN, ensuring a secure and protected digital payment environment.
Businesses Prepare for the Change: UPI Smart QR and Asset Tags
Businesses, on the other hand, need to adapt to the changing landscape. Post December 31, Google Pay, PhonePe, and Paytm users will no longer be able to make UPI payments without using the UPI Smart QR or asset tags. This transition is crucial for businesses to continue accepting UPI payments seamlessly.
User-Friendly Process: No Need for QR Code Scanning
What sets this payment method apart is its user-friendly approach. Unlike traditional QR code scanning, users do not need to scan a QR code but simply tap their mobile devices on the payment machine. The transaction is completed effortlessly, providing a smooth and quick payment experience. However, it’s essential for users to have NFC in their mobile devices to avail of this service.
NPCI’s UPI Tap
In conclusion, NPCI’s UPI Tap and Pay feature mark a significant step towards a more streamlined and user-friendly digital payment ecosystem. With its emphasis on convenience and security, this innovative payment method is poised to reshape the way we make transactions. As businesses and users adapt to these changes, the future of digital payments in India looks promising and technologically advanced.
