IDFC Bank – Please enable Credit Card acceptance via UPI

Not sure as to where the fault is, but 100 % sure not the NPCI RuPay card issuer bank i.e Kotak Mahindra Bank.

         Today evening went to Pooja Jewellers, Uttharalli, Bangalore 560 061, just 100 metres from IDFC Bank, Uttharalli Branch.

After shopping, the owner enquired Card or UPI. Proudly mentioned UPI and logged into Supr.Money, scanned the QR Code on the IDFC Bank UPI QR Code machine.  

         Received a successful SMS from my card issuer.

         In the Supr.Money APP  the transaction status was still in  processing

         After few seconds to my horror, the payment status got updated to FAILED.

         Hopefully this post will reach the respective IDFC Bank Team and issue will be resolved by this month end.

I am advocating for World Safe ePay Day.

The final goal of all my Blog Posts and social media interactions is to have a Day declared as World Safe ePay Day.

 

 

Safe and Stylish: Unveiling World SafeePay and Blouse Day Delights

 

The need for observing World SafeePay Day and World Blouse Day arises from the absence of dedicated global celebrations for these concepts.

World SafeePay Day aims to celebrate the joy of safe electronic payments in all financial transactions, representing an abstract celebration that highlights the significance of secure and efficient digital financial interactions. As the world increasingly relies on electronic payment systems, having a designated day for SafeePay emphasizes the importance of secure and reliable digital financial transactions.

 

On the other hand, World Blouse Day seeks to celebrate the joys of wearing blouses in a more lively and visually impactful manner. The concept involves a powerful display of togetherness, with millions of people stepping out wearing blouses based on a chosen theme. This display celebration not only promotes a sense of unity but also serves as a unique and creative expression of shared identity through clothing.

 

The introduction of these days aligns with the United Nations' approach to designating specific days to raise awareness, promote action, and celebrate achievements related to various global issues.

While international days often focus on serious matters, World SafeePay Day and World Blouse Day offer a mix of abstract and lively celebrations, catering to the diverse interests and aspects of modern life.

In a world where electronic transactions and cultural expressions are integral parts of daily living, these designated days would contribute to fostering awareness and appreciation for safe ePayments and the joy of wearing blouses.

Read more about Credit Card payment via UPI App

01)Credit Card Spendings Via UPI Platform Touch New High –Check List Of Banks Offering Facility @ https://zeenews.india.com/personal-finance/credit-card-spendings-via-upi-platform-touch-new-high-check-list-of-banks-offering-facility-2775042.html

 

02)                NPCI records nearly ₹10,000 crore credit disbursed through UPI every month @ https://www.livemint.com/news/india/npci-records-nearly-rs-10-000-crore-credit-disbursed-through-upi-every-month-11722957780027.html

 

Know more  about   Super.Money @ https://prashantnepayments.blogspot.com/2024/06/supermoney-kudos-to-real-time.html

Disclaimer: These are my thoughts only. The only Bliss is promoting the Joy of Safe ePayments. World Safe ePay Day  is a medium to experience the Joy of Safe ePayments.

Copyrights, rest with the original copyright holders only.

 

 

NPCI Circular @ UPI Members __ Introduction of 3 New features for Credit Accounts

 

**Empowering Users: Unveiling 3 New Features in UPI for Credit Accounts**

 

In a dynamic financial landscape where convenience and flexibility are paramount, the National Payments Corporation of India (NPCI) continues to spearhead innovations that reshape the digital payments landscape.

With a recent circular dated March 29th, 2024, NPCI has highlighted three groundbreaking features tailored specifically for Credit Accounts within the Unified Payments Interface (UPI) ecosystem.

These features not only streamline transactions but also empower users with greater control over their finances.

 

At the heart of these advancements lies the integration of RuPay Credit Cards or pre-sanctioned credit lines with UPI Virtual Payment Addresses (VPAs).

This foundational linkage serves as the gateway to a plethora of possibilities, ranging from flexible payment options to enhanced financial management tools.

However, the realization of this potential hinges upon the collaborative efforts of UPI App Teams and Credit Institutions, underscoring the importance of synergy in driving innovation.

 

In line with NPCI's commitment to fostering digital financial inclusion and innovation, I am pleased to spotlight three innovative features highlighted in the recent circular dated March 29th, 2024.

These features are specifically tailored for Credit Accounts within the UPI ecosystem, aiming to enhance user experiences and provide greater flexibility in managing financial transactions.

The 3 new features are: -

01)                 EMI Facility

02)                Credit Account Bill Payment/Instalment Payment

03)                Limit Management

 

**1. EMI Facility: **

 

The EMI (Equated Monthly Installment) facility revolutionizes the way users manage their credit accounts through the UPI app. With this feature, users can conveniently apply for an EMI facility directly within the UPI app interface. Upon selecting the desired credit account, users authorize the EMI application process by entering their UPI PIN, thus providing explicit consent as per relevant terms and conditions.

 

i. **Converting Past Purchases into EMI: ** Users gain the flexibility to convert past purchases made using their credit accounts into EMIs seamlessly. By accessing their transaction history within the linked UPI app, users can select specific transactions and convert them into manageable EMIs, spreading payments over a pre-defined period.

 

ii. **Instant EMI at the Point of Transaction: ** Furthermore, users have the option to opt for EMI at the time of making a new transaction. Whether it's purchasing electronics, booking travel tickets, or shopping for essentials, users can choose to convert their transaction into EMI directly within the UPI app interface, ensuring financial flexibility and convenience.

 

Additionally, the UPI app provides a dedicated section to display existing EMIs, offering users visibility and transparency into their repayment obligations. It's important to note that since EMIs are essentially loans, users are restricted from modifying or deleting EMIs, except for foreclosure, in adherence to the terms specified by the issuing entity.

 

**2. Credit Account Bill Payment/Instalment Payment: **

 

This feature streamlines the process of settling outstanding credit card bills or credit line installments through the UPI app, offering users enhanced convenience and flexibility in managing their finances.

 

i. **Creation of UPI ID for Bill/Instalment Payment: ** To initiate the payment process, the Payer PSP (Payment Service Provider) generates a unique UPI ID specifically designated for receiving credit account bill or instalment payments. This UPI ID serves as a secure channel for transferring funds from the user's linked bank account to the designated recipient.

 

ii. **Detailed Overview of Outstanding Bills/Instalments: ** Within the UPI app interface, users gain access to comprehensive details regarding their linked credit card's outstanding bill or credit line installment, including minimum amount due, total amount due, bill due date, and other relevant information. This transparency empowers users to make informed financial decisions and manage their repayment obligations effectively.

 

iii. **Real-time Clearance of Dues: ** Upon receiving payments through the UPI app, the issuing bank processes the transactions in real-time, ensuring prompt clearance of dues. Consequently, users benefit from an enhanced balance available for utilization, further enhancing their purchasing power and financial flexibility.

 

**3. Limit Management: **

 

This feature empowers users to exercise greater control over their credit limits, catering to diverse financial needs and preferences.

 

By enabling users to accept or apply for credit limit enhancements directly through the UPI app, this feature facilitates seamless access to additional credit resources. Whether it's for making large purchases, addressing emergencies, or covering ad hoc expenses such as festivals or family events, users can adjust their credit limits dynamically to suit their specific requirements.

 

Moreover, this functionality enables issuing banks to start with smaller credit limits, providing users with a tailored approach to credit management. Based on the user's spending behavior and repayment history, the bank may subsequently increase the credit limit, fostering a mutually beneficial relationship between users and financial institutions.

 

With the objective of enhancing user convenience and providing better control over their finances, users can initiate changes to their credit limits through the UPI app interface. Whether it's a generic adjustment or a temporary modification for a specific time period, users provide explicit consent by entering their UPI PIN, ensuring a secure and streamlined process.

 

These expanded features signify NPCI's commitment to driving digital financial inclusion and innovation, empowering users to navigate the evolving landscape of digital payments with confidence and convenience.

 

As we continue to evolve the UPI ecosystem to meet the changing needs of users, we encourage all stakeholders to explore and leverage these features to their fullest potential.

By embracing innovation and collaboration, we can collectively shape a future where digital financial inclusion knows no bounds.

Looking forward for the new features to roll out soon, very soon.

 

Disclaimer: These are my personal thoughts only. The bottom line is Spreading the Joy of Safe ePayments.

 

Safe and Stylish: Unveiling World SafeePay and Blouse Day Delights

 

The need for observing World SafeePay Day and World Blouse Day arises from the absence of dedicated global celebrations for these concepts.

World SafeePay Day aims to celebrate the joy of safe electronic payments in all financial transactions, representing an abstract celebration that highlights the significance of secure and efficient digital financial interactions.

As the world increasingly relies on electronic payment systems, having a designated day for SafeePay emphasizes the importance of secure and reliable digital financial transactions.

 

On the other hand, World Blouse Day seeks to celebrate the joys of wearing blouses in a more lively and visually impactful manner.

The concept involves a powerful display of togetherness, with millions of people stepping out wearing blouses based on a chosen theme.

This display celebration not only promotes a sense of unity but also serves as a unique and creative expression of shared identity through clothing.

 

The introduction of these days aligns with the United Nations' approach to designating specific days to raise awareness, promote action, and celebrate achievements related to various global issues.

While international days often focus on serious matters, World SafeePay Day and World Blouse Day offer a mix of abstract and lively celebrations, catering to the diverse interests and aspects of modern life.

In a world where electronic transactions and cultural expressions are integral parts of daily living, these designated days would contribute to fostering awareness and appreciation for safe ePayments and the joy of wearing blouses.

 

 

SafeePay's joy, transactions secure,

World Blouse Day, colors allure.

Digits dance, a digital delight,

Blouse themes bloom, in unity's light.

 

 

 

 

Welcome to 2024: Embarking on a New Era of Stock Trading Excellence! SEBI's n NPCI’s UPI ASBA Initiative for secondary market trades.

 

Revolutionizing Stock Trading: SEBI's and NPCI’s UPI ASBA Initiative and QSBs Propel Investors into a Future of Secure and Seamless Transactions!"

🌐 Breaking News: QSB Designation and UPI Revolution in Secondary Market! 🚀

In the dynamic landscape of financial markets, 2024 marks a pivotal moment as we witness groundbreaking changes orchestrated by the Securities and Exchange Board of India (SEBI).

With a visionary approach, SEBI introduces the UPI ASBA initiative, leveraging the power of the Unified Payments Interface for Share Secondary Market.

This transformative move aims not only to streamline transactions but also to enhance security and efficiency.

 

As we step into this promising year, the designation of 15 Stockbrokers as Qualified Stockbrokers (QSBs) adds another layer of reliability to the financial ecosystem.

These industry leaders, including Zerodha, Angel One, HDFC Securities, and others, are entrusted with additional responsibilities in financial stability, audit, related-party transactions, cyber security, and risk management.

The regulatory commitment intensifies with enhanced monitoring set to commence on July 1, 2023 ensuring a robust and accountable trading environment.

 

The transition to UPI ASBA signifies a paradigm shift in user-friendly transactions.

Pioneered by QSBs like Groww, the activation of UPI ASBA for Share Secondary Market promises a seamless experience for investors.

The forthcoming beta run will provide valuable insights, allowing for strategic adjustments and fine-tuning.

 

In this symbiotic relationship between stockbrokers and banks, readiness is paramount. The collaborative efforts of both entities ensure the full potential of UPI ASBA is harnessed. Regulators, post-beta run, may play a crucial role in ensuring the preparedness of banks, aligning with the evolving needs of the financial landscape.

 

The unveiling of building blocks, starting with the RBI's announcement of single-block-and-multiple debits in UPI, highlights a comprehensive approach towards a technologically advanced and secure trading environment.

The UPI ASBA feature, a result of these building blocks, simplifies various transactions, offering unprecedented ease in e-commerce, securities investments, hotel bookings, and more.

 

As we eagerly anticipate the Beta launch of 'UPI for Secondary Market,' led by Groww and supported by key stakeholders like BHIM, YES PAY NEXT, and others, the financial landscape is poised for positive disruptions.

Initially accessible to HDFC Bank and ICICI Bank customers, this collaborative effort ensures a robust implementation.

 

In conclusion, as we welcome 2024, investors, brokers, and stakeholders are invited to embrace this change and be part of a historic transformation in Indian secondary market trading. SEBI's circular and the imminent UPI for Secondary Market not only promise enhanced security and streamlined processes but also herald a new paradigm in financial transactions.

Welcome to a year of possibilities and positive shifts in the world of stock trading!

 

📆 Key Circular Announcement:

On June 23, 2023, SEBI (Securities and Exchange Board of India) made a historic announcement through circular SEBI/HO/MRD/MRD-PoD-2/P/CIR/2023/99, ushering in a transformative era in secondary market trading.

This directive, directed towards Recognized Stock Exchanges, Clearing Corporations, Recognized Depositories, and the National Payment Corporation of India (NPCI), introduces an innovative UPI block facility aimed at enhancing investor protection.

 

🔄 Transition to UPI ASBA:

QSBs are expected to spearhead the activation of UPI ASBA (Unified Payments Interface Application Supported by Block Amount) for Share Secondary Market, introducing a new dimension in user-friendly transactions.

While trailblazers like Groww lead the way, other QSBs are poised to follow suit in the coming months. Strategies may undergo refinement based on insights garnered from a meticulous beta run, ensuring a seamless transition.

 

🏦 Banks and Brokers Symbiosis:

A pivotal note underscores the symbiotic relationship between stockbrokers and banks. The preparedness of both entities is paramount; if banks are not adequately prepared, stockbroker account holders won't be able to fully leverage the potential of UPI ASBA. Regulators, post-beta run, may play a role in nudging banks towards readiness.

 

🔗 **Building Blocks Unveiled:

This transformative journey unfolds as a sequence of building blocks. The Reserve Bank of India (RBI) laid the foundation in December 2022 with the announcement of single-block-and-multiple debits in UPI. Each subsequent announcement contributes to a comprehensive ecosystem, ensuring a smooth transition towards a technologically advanced and secure trading environment.

 

🚀 **UPI ASBA Feature Unveiled:

The UPI ASBA feature, leveraging single-block-and-multiple debits functionality, was unveiled by the RBI, marking a paradigm shift in payment systems. Earmarking funds for debits simplifies various transactions, including e-commerce, securities investments, hotel bookings, and more.

 

💡 **Beta Launch and Stakeholder Collaboration:

The upcoming week heralds the Beta launch of 'UPI for Secondary Market,' initially focusing on the equity cash segment.

This launch is a collaborative effort, with key stakeholders such as clearing corporations, stock exchanges, depositories, stockbrokers, banks, and UPI app providers actively contributing to its success.

During the Beta phase, a select group of pilot customers will experience this functionality, enabling them to block funds in their bank accounts.

Clearing Corporations will then debit these funds upon trade confirmation during settlement, streamlining the process and ensuring a swift payout on a T+1 basis.

 

The Beta launch of 'UPI for Secondary Market' is imminent, led by Groww, supported by BHIM, Groww, and YES PAY NEXT.

Initially accessible to HDFC Bank and ICICI Bank customers, this collaborative effort ensures a robust implementation. Key stakeholders, including Zerodha, Axis Bank, and Paytm, are gearing up for certification and active participation in the Beta launch.

 

🔄 Integration Challenges and Solutions:

The Beta run prompts critical questions about the potential contribution of 'UPI for Secondary Market' to overall UPI volumes. The initial phase grants access to UPI through UPI Screens for HDFC Bank and ICICI Bank account holders. However, a crucial step for full UPI benefits is holding an account with the Groww brokerage app.

 

The QSB list includes Zerodha, Angel One, 5paisa Capital, HDFC Securities, ICICI Securities, IIFL Securities, Jainam Broking, Kotak Securities, Motilal Oswal Financial Services, NextBillion Technology, Nuvama Wealth and Investment, Sharekhan, Anand Rathi Share and Stock Brokers, RKSV Securities, and Globe Capital Market

In summary, SEBI's circular sets the stage for a transformative shift in secondary market trading, with the UPI block facility poised to redefine security, efficiency, and investor protection.

As the countdown to January 1, 2024, begins, the financial landscape is on the brink of a new era. Investors, brokers, and other stakeholders are encouraged to embrace this change, heralding an era of enhanced security and streamlined processes in the Indian secondary market.

 

Contextual Expansion: SEBI Circular and UPI for Secondary Market:

 

On June 23, 2023, the Securities and Exchange Board of India (SEBI) issued a pivotal circular, SEBI/HO/MRD/MRD-PoD-2/P/CIR/2023/99, signaling a groundbreaking shift in the landscape of secondary market trading.

This circular, addressed to all Recognized Stock Exchanges, Clearing Corporations, Recognized Depositories, and the National Payment Corporation of India (NPCI), outlines a strategic move to enhance investor protection and streamline trading processes.

 

Introduction of UPI Block Facility:

The core objective of this circular is to introduce a supplementary process for trading in the secondary market, mitigating risks associated with defaulting trading and clearing members.

SEBI has ingeniously devised a framework wherein funds in an investor's bank account are blocked, as opposed to being transferred upfront to the trading member.

This revolutionary move aims to provide an added layer of security, known as the 'UPI block facility,' integrating the RBI-approved Unified Payments Interface (UPI) mandate service.

 

 

 

 

Key Features of the Proposed Framework:

Under this proposed framework, funds remain in the client's account but are blocked in favor of the clearing corporation (CC) until the expiration of the block mandate or its release by the CC.

Settlement for funds and securities is seamlessly handled by the CC, eliminating the need for trading members to handle client funds and securities directly.

Client Flexibility and Options:

The circular emphasizes investor empowerment, allowing the availing of the UPI block facility to be at the option of the investor.

This non-mandatory facility, to be provided by stock brokers, permits investors to choose UPI-based trading under specific brokers while opting for non-UPI trading under others.

However, once opted for the UPI block facility under a particular broker, specific guidelines must be adhered to concerning cash collaterals, equivalent collateral, securities collateral, and funds pay-in settlement.

 

Segment-wise Collateral and Settlement:

Collateral and settlement are designed to be segment-wise, requiring clients, trading members, and clearing members to transfer or reallocate collateral between segments. Running account settlement is not supported, ensuring a meticulous and daily settlement process facilitated by the CC using the UPI block facility.

 

Timelines and Implementation:

Fast forward to December 29, 2023, when SEBI's visionary approach materialized into a significant development. An ASBA-like facility, termed 'Trading supported by blocked amount in Secondary Market,' gained approval. Leveraging the RBI-approved UPI mechanism, the implementation timeline for this transformative change is set for January 1, 2024.

 

🚨 Disclaimer:

This informational expansion is based on available data and projections as of January 1, 2024. However, changes may occur based on regulatory updates and industry dynamics. Users are encouraged to verify current information and consult relevant authorities for the latest details.

 

🚀 Conclusion:

As the countdown to January 1, 2024, begins, the financial landscape stands on the brink of a new era. SEBI's circular and the imminent UPI for Secondary Market promise not only enhanced security and streamlined processes but also herald a paradigm shift in Indian secondary market trading.

Investors, brokers, and stakeholders are invited to embrace this change and be part of a historic transformation.

 

Additional Reading: Pilot phase of 'UPI for secondary market' to begin Jan 1; CRED's Kunal Shah says 'big moment for India' @

https://www.businesstoday.in/markets/top-story/story/pilot-phase-of-upi-for-secondary-market-to-begin-jan-1-creds-kunal-shah-says-big-moment-for-india-411331-2023-12-29

 

 

 

NPCI to introduce BASE i.e Bharat Aadhaar Seeding Enabler

NPCI to introduce BASE i.e Bharat Aadhaar Seeding Enabler

              NPCI - NACH Team has released a document informing to public at large on the launch of BASE

              The full form of BASE is Bharat Aadhaar Seeding Enabler

              Government’s Direct Benefit Transfer runs on Aadhaar Numbers. Citizens Aadhaar Numbers have to be seeded into specific bank accounts. In turn, that information should flow to NPCI Mapper. Over the years, substantial amounts have been routed through DBT channel to the end beneficiaries.

The DBT Channel has routed Rs.6,30,264/- Crores via 717 crores transactions in FY 2021-22 . The number keeps on increasing every month.

To further enhance customer satisfaction, NPCI has come out with BASE.

              The objectives of this new facility by NPCI is to: -

Objective 01) Enable citizens to check Aadhaar seeding status

Objective 02) Enable citizens to do Aadhaar seeding

Objective 03) Enable citizens to do Aadhaar deseeding

Objective 04) Enable citizens to move Aadhaar seeding from one Bank to another Bank

 

Aadhaar Seeding in NPCI Mapper is a two-step process

Step 01) The respective Aadhaar must be linked to a specific Bank Account Number

Step 02) The specific bank should send that information to NPCI Mapper

Both steps are necessary for seamless delivery of Government Benefits to one’s bank account via the respective entity and NPCI

 

Step 2 is not possible without Step 1

Step 1 is incomplete if Step 2 is not done.

To reduce the TAT around Aadhaar seeding / deseeding, NPCI has come up with BASE

Customers can refer the NPCI FAQs for better clarity @ https://www.npci.org.in/what-we-do/nach/faqs/customers

 

Q: When is the Go Live Date?

Ans: The Go Live is not mentioned in the document. As the go-live process involves multiple integrations between various IT Systems, hoping that BASE goes live in the next couple of months.

The Benefits of BASE are: -

Benefit 01) Reduce dependence on the banks staff

Benefit 02) Be aware of their latest Aadhaar Seeding status

Benefit 03) Reduce the TAT for Aadhaar seeding in NPCI Mapper

Benefit 04) Use of Digital Tools to enhance customer satisfaction.

 

Read the complete NPCI Circular @ https://www.npci.org.in/what-we-do/nach/circulars

Circular No 3 – Bharat Aadhaar Seeding Enabler (BASE)

 

Disclaimer: These are my personal views only. The bottom line is Safe ePayments. Nothing More – Nothing Less.

 

 

 NPCI Bharat BillPay Ltd. announces a Block Buster with Unified Presentment Management System (UPMS)

            NBBL, a wholly-owned subsidiary of National Payments Corporation of India, unveiled a Block Buster for Bill Payments i.e , the UPMS.

The full form of UPMS is Unified Presentment Management System.

UPMs will play a key role in pushing up volumes from the present 19 lacs daily average to 100 lacs by 2024.

AXIS Bank, IDFC First Bank and PhonePe are off the block offer UPMS to their customers as soon as possible.

At the same time, multiple Banks and Consumer Tech companies are accessing the sandbox finetuning their UPMS offerings.

As the launch date comes closer, there will be more clarity of the process flow.

Q: What is UPMS?

Ans: UPMS is a platform wherein the customers will be able to set up bill fetch requests from BBPS Billers based on unique identifiers.

The unique identifiers can be customers

a)      Account Number with the Biller

b)      Registered Mobile Number

c)       Registered email Id

NBBL through UPMS will enable the customers to set up standing instructions – from any channel and for any mode on their recurring bill payments.

The bills will be automatically fetched from the billers and presented to customers for their action, in terms of auto-debit and bill payment management.

Customers will be able to see the status of all their saved bills in one platform.

Q: What are the benefits expected from UPMS

Ans: 01) Customers need to do only update their unique identifiers of the bills once.

02) As and when the bill against the unique identifier is generated by the biller, the same will reflect in UPMS. Customers need not log into different portals to check their bill status.

03) As and when customers pay their bills via any BBPS Channel /  any BBPS Mode, the payment details will reflect under the particular bill in UPMS

04) This means I as a customer, can register my Electricity bill on UPMS and in November 21 pay the electricity bill via PAYTM, in December 21 via PhonePe, in January 22 via Amazon Pay and all the monthly bill details / payment details will reflect in UPMS

The benefits are immense and as customers, especially corporate customers start using UPMS they will be able to appreciate the simplicity of UPMS.

The only criteria are that the billers has to be part of the BBPS platform.          

 

Q: At present, how many billers are Live on BBPS?

Ans: 20,000 + Billers across multiple categories are Live on BBP.

The highest category of billers is from the education sector. More than 17,000/ - from across India are part of the BBPS.

This means Students / Parents can pull the pending fee details based on a unique identifier and pay the same.

 Q: Can Mutual Funds join as Billers on BBPS?

Ans; Yes, Mutual Funds can join as Billers especially for SIPs investments.   

Q: What are the most favorite categories of Bill Payments on BBPS?

Ans: The most favorite categories of bill payments are Electricity and FASTag

Electricity as the bills are generated month on month and have to be paid before the due date

FASTag as folks prefer to top-up while traveling along Toll Roads and top-up via BBPS is extremely fast and easy.

Q: What is BlockBuster?

The Merriam-webster Dictionary defines "Blockbuster", as - that is notably expensive, effective, successful, large, or extravagant –

UPMS is Large and on the way to be successful.  

About NPCI Bharat BillPay Ltd.

NPCI Bharat BillPay Ltd. is a wholly-owned subsidiary of National Payments Corporation of India.

Came into effect from April 1, 2021, NBBL is growing rapidly on account of the ease and accessibility it offers to the customers and the one-stop solution to Billers for low-cost collections.

The platform offers 20,000+ billers across multiple banks and non-bank channels.

 

Source Article: https://www.npci.org.in/PDF/npci/press-releases/2022/NBBL-Press-Release-NBBL-launches-Unified-Presentment-Management-System-(UPMS)-to-simplify-bill-payments.pdf

 

 

Disclaimer: These are my personal opinions only. The bottom line ‘Safe ePayments’.

Nothing more - Nothing Less. 

NPCI to debut Proximity Payments for UPI Transactions

                   As on date, 55 Banks are Live on the NPCI UPI platform. Multiple approaches are in pipeline to enable the remaining Banks to onboard UPI platform.

        

         A large number of Banks live on NPCI UPI Platform will make it attractive for 3^rd Party PSPs to roll out innovative UPI products.

        

         UPI transactions can be executed through the App, Website and QR as the payment address needs to be keyed in manually or scanned to successfully complete the Transaction.

        

         There have been a number of instances wherein the wrong VPA was keyed in, and the payment landed in a wrong bank account!!  It was a hectic job, to recall the funds credited to the wrong beneficiary.

        

The QR mode is superior over manual keying mode of the VPA, however in some cases, the QR Code not be scanned, and the VPA had to be keyed in manually.

To overcome the barriers associated with 01) Manual keying of VPA 02) Scanning VPA, NPCI has decided to go for additional payment channels under ‘Proximity Based Payments’.

The new ‘Proximity Based Payments’ channels in UPI will be live in the next 2 quarters.

As a first step, NPCI has floated a “REQUEST FOR PROPOSAL (RFP) FOR ENGAGING SERVICE PROVIDER FOR PROVIDING PROXIMITY PAYMENTS FOR NPCI”

The RFP focus is on UPI only. The Objective of this RFP: To make available method of payments other than text and QR to the end customers, which will expedite the payment process as well reduce complaints.

Remote and Proximity payments in UPI are currently done only by entering the VPA or scanning a QR within the App or a web site, which limits the possible methods in which payment can be made.

Banks have been implementing various proximity payment solutions in their existing non-UPI apps but have not been able to extend it to their UPI apps as there are no standardization sets and the current implementation limits them to work with their own PSP apps only.

NPCI has been getting requests from various proximity payment players on taking their products and having them embedded within NPCI library or environment and/or certified by NPCI to be implemented within BHIM App or other UPI Apps.

Hence, the above RFP is expected to fill the gap and A) reduce complaints associated with wrong payments B) increase transactions routed through UPI c) provide a platform for FinTech companies to be part of India’s digital transactions platform.

The main requirements for Proximity Payments are the presence two devices to complete the financial transaction.Proximity Payments are equal to ‘Card Present’, transactions.

In India, the NFC based payments did not take off to various reasons.

The best examples of Proximity Payments are Apple Pay, Samsung Pay, Android Pay

Through this RFP, NPCI intends to introduce the benefits of proximity payments to UPI transactions.

UPI has gained acceptance since its launch and more and more bank customers have understood the benefits of UPI.

Introducing Proximity Payments will add an additional security layer and reduce the last-mile friction.

The RFP states that the following:-

Solution:

The Bidders need to develop a solution for proximity payments where the mechanism for transfer could be anyone of the below however not limited to the following.

1. Sound

2. Tone

3. NFC

4. RFID

5. UHF

6. Location based payments

The Bidder/solution provider would need to have a fair understanding on UPI and also would need to provide solutions which addresses the below concerns as well.

a)   Multiple VPAs configured.

b)   Storage of VPA

c)   Functioning of proximity payments in case the app is not launched & battery optimization.

d) Payments between un-intended devices.

Proximity payments via UPI will encourage merchants to adopt UPI quickly.

One of the major drawbacks in the present UPI process is that intentionally a wrong VPA may be provided by the store staff to the customer. This leads to payment to a person other than the merchant.

Through Proximity Payments, this can be avoided.

The ‘Collect’, option is not preferred for onsite payments, as the time taken to complete the transaction is more.

The same applies to ‘QR Code’ option too. In case, the store staff shows a wrong ‘QR Code’, to the customers, the payment will land in the wrong bank account.

Service Charges –

No charges for P2P transactions

Solution Provider may charge for P2M transactions

It is not for a single service provider to provide all the methods of proximity payments. NPCI may choose different vendors for each proximity payment channel.

5 Benefits of Proximity Payments being part of NPCI UPI

Benefit No 01) – Introduce the Joys of proximity payments to Digital India.

  

Benefit No 02) – Enhance the confidence levels of merchants to adopt UPI

Benefit No 03) – Reduce complaints associated with wrong payments, time-outs, etc

Benefit No 04) – Increase the number of UPI transactions

Benefit No 05) – Increase the turnover rates for P2M transactions

Benefit No 06) – Enable Banks to launch ‘Cash Management Products’ based on UPI

Benefit No 07) – Ensure quick adoption of proximity payments channels to other financial products

Google TeZ is a trailblazer in UPI based proximity payments.  

Good to read articles:

MoboMoney takes sound-based mobile payments to India

A new approach to digital payments - Ultracash