National Payments Corporation of India (NPCI) has recently launched UPI AutoPay feature to ease recurring online payments.
National Payments Corporation of India (NPCI) has recently launched UPI AutoPay feature to ease recurring online payments. This feature allows customers to set an e-mandate for recurring payments of up to Rs 2,000 on the UPI platform.
For payments above Rs 2,000, customers will have to execute every mandate with the UPI PIN.
With the UPI AutoPay facility, customers can pay their bills including electricity, phone etc. Additionally, customers can set up e-mandate for their entertainment or OTT subscriptions, transit and metro payments, mutual funds, insurance etc and pay EMI installments.
With this facility, customers will not have to set up reminders for payments.
In order to avail the facility, users need to create e-mandate through UPI ID, QR scan or intent and choose to set it for one-time, daily, weekly, fortnightly, monthly, bi-monthly, quarterly, half yearly and yearly basis.
"The UPI AutoPay feature is sure to provide convenience and safety to users when making recurring payments. This feature is safe to use because it provides users with the facility to create, approve, modify, pause as well as revoke auto debit mandate as per their requirement," says Rajesh Mirjankar, managing director and chief executive officer, InfrasoftTech.
"The feature benefits both consumers and merchants and it's potential advantages can immediately be seen across a host of use cases including subscriptions, utility bills, transit passes, premiums etc," adds Nityanand Sharma,CEO and CO Founder, Simpl.
User can login to their UPI app and make changes under the ‘Mandate’ section.
They will be required to authenticate their account with UPI PIN for the initial payment, and then payments will be deducted automatically on the authorised date set by the user.
However, users need to be cautious while approving the AutoPay requests from merchants that approve the genuine mandates.
"Fraudsters may attempt phishing via emails, SMS or fraudulent apps with links having names and other UPI similar to the merchant may be used. Customers need to validate that the mandates they approve are from the genuine merchant UPI ID," warns Mirjankar.
"Recurring payments like utility bills has already seen an upward tick during the lockdown months. Users are already using various platforms to pay their bills, now with UPI all being at one place will further amplify the consumers to pay due to its safety, ease of using feature and also payments can be paused anytime," adds Rohit Kumar, CEO & Founder - Xpay.Life.
Some of the banks, merchants and aggregators who have already gone live with UPI AutoPay are Axis Bank, Bank of Baroda, HDFC Bank, HSBC Bank, ICICI Bank, IDFC Bank, IndusInd Bank, Paytm Payments Bank, AutoPe-Delhi Metro, AutoPe-Dish TV, CAMS Pay, Furlenco, Growfitter, Policy Bazaar, Testbook.com, The Hindu, Times Prime, Paytm, PayU, RazorPay, among others.
Jio Payments Bank, State Bank of India and YES Bank will soon go live with UPI AutoPay.
First Published: IST