The National Payments Corporation of India (NPCI) on Thursday launched Unified Payments Interface (UPI) 2.0, which among others allows customers to link their overdraft account to UPI, creation of one-time mandates and pre-authorisation of transactions for payment at a later date, and checking the invoice sent by merchant prior to making payment.
UPI is a system that powers multiple bank accounts into a single mobile application (of any participating bank), merging several banking features, seamless fund routing & merchant payments into one hood. It also caters to the “Peer to Peer” collect request which can be scheduled and paid as per requirement and convenience.
NPCI is an umbrella organization for all retail payments in India. UPI version 1 was launched in April 2016.
In addition to current and savings accounts, NPCI said customers can link their overdraft (OD) account to UPI in its latest version. Customers will be able to transact instantly and all benefits associated with OD account will be made available to the users.
Mandates can be created and executed instantly. On the date of actual purchase, the amount will be deducted and received by the merchant/individual user.
UPI 2.0 has a feature whereby customers can check the invoice sent by merchant prior to making payment. This is aimed at helping customers to view and verify the credentials and check whether it has come from the right merchant or not.
A quick response (QR) code feature has been introduced for customers to check the authenticity of merchants while scanning the code. It notifies the user with information to ascertain whether the merchant is verified UPI merchant or not. This provides an additional security to the QR as well as intent.