UPI Payments for Small Business in India

The NPCI established UPI as part of the Fintech industry's advancements (National Payments Corporation of India).

UPI enables anybody with a bank account to pay and receive money online. All they need is a smartphone and their unique UPI ID. They do not need to submit any more information, such as bank account information. best payment gateway India.

According to the information provided for the UPI product at NPCI UPI Product Statistics, UPI Payments crossed the 3.5-billion transaction mark in July 2021.

Demonetization created a demand for and resulted in developments in a variety of fintech goods and services. COVID 19 accelerated the implementation of digital payments, including UPI and its PSPs. Merchants are adopting digital means of doing business, with UPI being the most popular payment method in general.

Uses of UPI

UPI payments may be made using the UPI applications for the following reasons and places:

·         Peer to Peer

·         Bill payments

·         Kirana stores

·         Online shopping

·         Recharge

·         Travel bookings

·         Entertainment

·         Fuel stations

·         Railway tickets

·         Transportations

·         Restaurants

·         Hotels

·         Airports, etc.

UPI and Merchants

Rising marketing in India promoting the usage of digital payments through online payment gateway has resulted in an increase in consumer transactions using UPI.

It is very simple for businesses to collect payments using this payment method since it allows for the collection of immediate payments with little or no additional physical instruments.

UPI payments may be collected at any time, 24 hours a day, seven days a week, including bank and public holidays. This would be extremely advantageous for any vendor or service provider.

After the consumer verifies the payment, the UPI infrastructure allows for instantaneous payment acceptance directly into the recipient's bank account.

Regarding payment limits, there are none from the merchant's perspective for making UPI payments. The payer, on the other hand, has a maximum restriction of Rs 1 lakh per UPI transaction. The number of transactions per day is limited to 20. (It may change depending on the limit set by the issuing bank.)

Merchants and businesses may simply accept UPI payments from their consumers.

Summary of Benefits of UPI payment collection for the merchants

·         A smooth collection of payments

·         Can collect payments from customers without debit or credit cards

·         Unlike card details, the merchant can save the customers UPI Id with no risk

·         Instant funds collection

·         Fully secured for customers due to 2-factor authentication

·         Single click payment

·         Various options to the customers for PSP (payment service providers)

·         Appropriate for eCommerce and m-commerce

QR Codes may be used by both online and offline retailers to enable retail transactions started and authenticated by customers at their stores, website, or app. They may also take UPI app payments through UPI ID (VPA: Virtual Payment Address).

To enable UPI for his business, the merchant must collaborate with the Acquirer bank or a UPI solution provider who provides the UPI system.

In the end

NPCI has launched UPI AutoPay, a tool that allows users to set up regular payments for mobile bills, energy bills, EMI payments, entertainment/OTT subscriptions, insurance, mutual funds, and other items.

The following functionalities are likely to be implemented with UPI payments, based on merchant demand.

They intend to abolish the client transaction limit.

They could pay their taxes in a safe and orderly manner.

UPI is presently one of the most essential and popular payment methods of the best payment gateway India. However, commercial merchants should not overlook alternative ways such as Cards, Netbanking, Wallets, and so on.

With the Sifipay payment gateway, you can easily provide the following payment options:

·         Debit/Credit cards, Master Card, Visa, Diners Club, AMEX

·         80+ Net Banking

·         Wallets – Paytm, Mobikwik, JIO Money, Freecharge, Ola money, Phonepe

·         UPI/BHIM (Bhim, Paytm, Phonepe, Whatsapp, Google pay and Others)

·         Single QR Code (Bhim, Paytm, Phonepe, Whatsapp, Google pay)

By providing the Sifipay payment links, online and offline companies may collect online payments with different UPI choices as well as alternative payment methods.

The specific features of each UPI App may be analyzed separately by merchants, and the suitable app can be targeted based on the customer's chosen application.