New Delhi. Reserve Bank of India (RBI) Governor Shaktikanta Das said on Wednesday that the central bank is proposing to issue a discussion paper on charges in payment systems to make digital transactions more affordable. In addition, he said that the RBI will launch a UPI-based payment product for feature phone users and simplify the process flow for small value transactions.
Shaktikanta Das said that a study will be done to make various charges affordable in digital payment. Das said that soon a discussion paper will be issued regarding payment systems like debit-credit cards, wallets and UPI. To make digital payment accessible to more and more people, a feature phone based UPI system payment system will be prepared. That is, you will be able to make UPI payment even without internet. Similarly, the limit for payment through UPI in Retail Direct Gsec and IPO will be increased from 2 to 3 lakhs.
How will the whole work be done?
Through this facility, feature phone users will be able to conduct merchant payments as well as peer-to-peer transaction transactions by generating an authentication PIN linked to their bank accounts, debit cards and registered mobile phone numbers.
As per the new report claimed by NPCI, this is similar to the method used to generate the UPI PIN. In addition, feature phone users will be able to generate authentication PIN through a common dial-in service, which can be operated by NPCI.
What is UPI?
UPI, which we call Unified Payment Interface in English, is a digital payment method that works through a mobile app. You can make payments through this app in a secure way. Even if the money gets stuck, it gets refunded in the bank account. You can also pay bills, transfer funds online and send money to relatives or friends through UPI. For this you have to download the app in your mobile phone and mobile number should be linked with bank account.
