What is UPI and how to avoid UPI Frauds
Unified Payment Interface (UPI) is an instant real time payment system that brings multiple bank accounts into a single mobile application, developed by National Payment Corporation of India (NPCI). The system software is capable of “Peer to Peer”(P2P are electronic money transfer from one person to another person through an intermediary) and “person to merchant”(P2M) transactions. UPI is regulated by Reserve Bank of India. The pilot project of UPI started by NPCI with 21 member banks on 11th april 2016 by Dr.Raghuram G Rajan. According to NPCI data, approximately 74 billion transaction worth rs.125.94 trillion were conducted. In July 2016 there was 21 banks associated with UPI and transaction value was 0.38 Cr. July 2017, 53 banks and transaction worth rs.3411.35 cr. July 2018, 114 banks and transaction worth rs.51843.14 cr. July 2019,143 banks and transaction worth rs.146386.65 cr. July 2020, 164 banks and transaction worth rs.290537.86 cr. July 2021, 235 banks and transaction worth rs.606281.14 cr. July 2022, 330 banks and transaction worth rs.1014384 cr.
UPI is one of the foundation stone of digital economy. In digital age UPI is the most efficient way for transact money and it’s the most efficient technology for a cashless economy.
Facts about UPI
UPI can be activated with the phone number which is registered with an active bank account.
Multiple active accounts can be added to a single UPI application.
Single click 2 factor authentication
Single UPI ID
Mobile Recharge, Utility Bill Payment, Other Bank Account money transfer, QR Code based payment (Scan & Pay) in a single application.
Payment in offline mode through Sound based proximity data communication and missed call based dedicated payment by PIN verification process.
Things to be remember for making safe UPI transaction:
Do not share your UPI Pin with anyone.
Change UPI Pin on a regular basis.
UPI Pin is never required while receiving money.
Do not accept unknown payment request and always verify the identity of the person, sending money to.
Money can only be transferred from sender to receiver only when sender validate the transaction by putting UPI Pin otherwise transaction will be rejected.
Before scanning QR Code, QR authentication should be verified.
Never sent money to any unknown phone number that is not authenticated.
Keep tracking bank messages about transaction. If find any irregular transaction, immediately contact to the bank and the responsible authority.
Never click on any payment link that appears similar to the original URL of the merchant before verifying.
Do not click on any link attached with unknown mail. The traditional way of sending malware is in the form of a link. When clicked on it malware take control of user computer and take all the sensitive documents.
Never share personal information over phone call. Fraudsters ask for personal information over phone by saying the call is from there bank. Bank never ask for KYC or Pin over phone.
Never give access to your phone or computer by installing any third party application or any unknown person for making any call or use your phone or computer/Laptop. By cloning sim fraudsters get access to the victim’s bank account.
Do not use any public Wi-Fi for internet surfing and always connect to secure wifi connection.
Do not use Public Charging mainly with the pre-installed charger cable.
Do not let Bluetooth on if phone or computer is not using the system.
