Those days are gone when you needed cash for purchases and many bill payments, as India is the highest consumer of mobile data worldwide to a whopping 12 GB or gigabytes every month. The evolution of money from exchanging goods to coins and paper is now changed to payment apps. It may be for paying the electricity bill online at the comfort of home or shopping for your favourites online.
Hence, you need to know the increasing importance of payment apps and their benefits for quick payments to make life simple and easy.
The increasing importance of the UPI payments app
Introducing UPI, or unified payment interface developed by NPCI or National Payments Corporation of India, in 2016 increased cashless payments in India. It changed the payment ecosystem in India as it enabled smartphone applications as a real-time payment system between banks. As the UPI payment app does not charge even a paisa, the users transact via it more than the NEFT, IMPS, or even the Visa and MasterCard, which charge from 1% to 5%. For promoting payments, the app companies bear the charges. They even offer many savings and cashback offers for making it the cheapest mode of fund transfer and also beneficial in many other aspects. Hence, the importance of payment apps is continuously increasing in India, which is clear from the Credit Suisse report that confirms digital payments in India will reach 1 trillion dollars in 2023 from the 200 billion dollars in 2020.
The benefits of UPI payment apps
The rapid rise of using payment apps for safe, secure, and quick payments is only because of its many benefits. Most of the banking and non-banking Indian payment apps use the UPI real-time payment system. Also, it is easier to send money by knowing only the IFSC or Indian Financial System Code, recipients’ mobile number, and Aadhar number. Also, UPI payment app users can access their transactions and balance details easily. There are also many other benefits of using safe and secure payment apps apart from quick payments. A few of them includes:
Encourages small transactions
India is moving closer towards cashless transactions, with even small shopkeepers or vendors now accepting payments from mobile apps. It is because of the free or low-cost transactions, unlike the card payments, which cost Rs.10 to Rs.20. Also, it helps the consumers by easing the process with minimum visits to ATMs to first draw money & then make merchant transactions.
Cheapest mode of transacting
With many banks and non-banking payment apps competing, UPI payment apps bear the costs involved to make UPI payment the cheapest mode to transact than any other mode of payment. Which includes the NEFT or National Electronic Funds Transfer, IMPS or Immediate Payment Service, or even Credit or Debit Card payments.Thus making the transactions to be made at lowest charges.
Secure mode of payment
Many people fear someone knowing the PIN, CVV, or other bank details for online payment and prefer cash transactions. But with UPI payment, there is no need for any bank details, and it is easy to discreetly access the smartphone with the UPI number.
Unlike IMPS or NEFT, which requires a cooling period extending from half an hour to 24 hours, transfer through UPI payment apps is immediate. It is possible as it works round the clock based on the IMPS platform. Also, no holidays, strikes, or non-banking hours will restrain the push or pull of money through UPI mode.
One app for many accounts
It is enough to have one payment app for linking many bank accounts, and the UPI app may be from any of the various options from banks and non-banking apps. With such a wide range of options to choose the best, they offer many benefits for encouraging cashless payments across India.
The above facts and benefits will surely help you know how safe, secure, and quick money transfers are using a UPI payment app that gives many rewards and cashback offers.