To boost up its user base who transact or make payments digitally, Paytm, the country's largest wallet company has introduced BHIM UPI interface on its platform.
Currently, mobile wallets lack interoperability i.e. payment cannot be initiated and executed from one wallet into another wallet simply stating for the payment to be effected recipient as well as sender both need to be registered with the same wallets company. Hence as a solution to it until interoperability becomes functional, Paytm through the BHIM UPI wishes to capitalize its growing strength in respect of increased usage to make digital payments.
Digital transactions have risen exponentially in one year since demonetisation via UPI, read here.
To enable payments using BHIM UPI on Paytm, follow the given steps.
1. On the home page of Paytm, using the BHIM UPI tab users can create their own BHIM UPI ID which shall be issued by the payments bank. Your registered mobile number with the digital wallet will be your BHIM UPI ID, say for instance if the user's registered number with Paytm is 9912345678, ID for that account will be 9912345678@paytm.
2. To start payment transactions using this UPI ID, users can link it with any of their savings bank account which shall be accepted by banks as well as other BHIM UPI apps. As of now, the bank linking feature is available only on Android platform.
Merchants using Paytm can also create their BHIM UPI IDs and they have the leverage to link a number a bank accounts to a single ID.
BHIM UPI emerges as a faster payment mode as payments can be made or received without sharing bank account details including IFSC. So, the time and hassle involved in adding a beneficiary when doing fund transfer transaction is done away with. UPI payments system was conceptualized by NPCI and according to its guidelines, a user can send a maximum of Rs. 1 lakh in a day through BHIM UPI interface, however there is no cap in respect of receipts.
On Wednesday, as a good news for businesses, Paytm announced that they can receive Paytm BHIM UPI payments for free in their bank accounts with no charges.