What is Autopay in UPI Apps? How to use this Facility?

UPI has changed the whole scenario. Now, we have adopted this super easy payment system. Indeed, it was a revolutionary system by NPCI. But, Do you consider that #UPI Autopay also has such potential. It seems so. As it promises to take away all of your tension related to the bill payments.

In fact, if you use the UPI Autopay facility effectively, all of your regular payment would go into the Auto pilot mode.

After applying this facility, your electricity bill payment, rent payment, DTH payment, the insurance premium would be taken care of by the UPI system.

You have to only worry about the sufficient fund in your bank account.

Let us explore this UPI autopay. What does it offer and how can you avail this facility. We will discuss all the aspects of it in detail.

What is UPI AutoPay

If you look back then you would find that most of your cashless payments are regular in nature. Every month you do the same payments. You recharge your and family members’ mobile. similarly, You pay electricity, DTH, Water bills every month.

Some of these payments require a fixed amount every time. Such as mobile recharge, DTH recharge etc. You can set mandate or issue a cheque for these payments.

But What about those payments which are not fixed but you need to pay them regularly. For example, electricity bill changes as per the use. Credit card bill also varies. That is why you can’t set a mandate or give a standing instruction for such payments.

To deal with this situation, the NPCI has developed the #UPIAutopay facility. This facility would ease your payment problems.

The UPI Autopay itself will find out your billed amount from the biller. Further, It would pay that amount to biller from your bank account.

Of course, It would ask for your permission. But, It would be a one-time process. It does not ask your permission for every recurring payment.

Since it automates the regular payment, this feature is called as Autopay. This feature is associated with the UPI Payment system.

The UPI Autopay is more advanced than the UPI Mandate and Standing instructions as it can check the billed amount itself.

You would know that Bharat Bill Payment System also fetches your bill amount in the UPI Apps. So, you can easily pay that amount without going through the actual bill.

The Uses of UPI Autopay

Now it is clear that UPI Autopay can be used for all types of regular payments. So you can use it for a fixed payment and variable payment, both. I am listing the regular payment where UPI autopay can be used.

• Electricity Bill
• Water Bill
• DTH Recharge
• Gas Bill
• PostPaid Mobile Bill
• School Fees
• Credit Card Bills
• OTT (Prime Video, Netflix, Hotstar) Bills
• Loan EMI
• Mutual Fund SIP

Limit of UPI Autopay

I understand that you would have some apprehension of this system. I also had that.

What if the Electricity company charges an arbitrary amount? What if the credit card company charges a very high bill for fraudulent transactions?

There may be deductions of more than once. What if a large amount gets deducted from your account?

Your apprehensions are genuine.

But, fortunately, UPI Autopay has checks and balances. Since it has set a limit for the Autopay. So, Relax!

There would not be an automatic payment if the billed amount is more than ₹2,000. Yes, only ₹2000. It has deliberately kept very low limit. So that people don’t have any hesitation.

So what would happen, if the billed amount is more than ₹2000? In such a situation, your UPI app would immediately notify you. The payment would remain pending unless you approve it. To Approve the payment, you have to enter the UPI PIN.

You would be aware that UPI PIN is mandatory for the payment through the UPI apps. I hope, you remember your PIN.

The Frequency of Payments

There is one feature of UPI Autopay which I like most. This is the options to decide payment intervals.

You can choose any of the following frequency for the AutoPay. Even you have the option for the one-time payment.

• Daily
• Weekly
• Fortnightly
• Monthly
• Bi-Monthly
• Quarterly
• Half Yearly
• Annual

How to Set UPI AutoPay

So, you have all the information about the UPI Autopay. Now I will tell you the way to set Autopay through the UPI app.

But there is a problem. It has been 3 weeks after the announcement of UPI Apps but No app could incorporate this facility. However, we expect that Soon Google Pay and Phonepe would come with this feature.

So, I don’t have the real experience of this feature. Nevertheless, the iMobile app of ICICI Bank gives a similar service.

The Mandate feature of Mobile is similar to the UPI Autopay. Let us learn about that. It would give us a fair idea.

The UPI Mandate of iMobile

Open the iMobile app and go to the BHIM UPI Section. In that Section, You would see a link for UPI Mandate. Tap on that link. It would open 3 options for you. From there you can create new Mandate, Check your previous mandates and also approve the mandate request.

Let us tap on Create New Mandate. Now you would see a form to create new Mandate.

In this form you have to give following information.

• The UPI ID of the beneficiary. In UPI Autopay, you would give the biller UPI ID in this column.
• The Name of the Mandate. You should give a name to identify it.
• The Start and End date of the Mandate
• The amount. You can also set a maximum amount.
• Frequency of the Payment
• Your UPI ID associated with the App.

After filling the form, you have to tap on the proceed. Now you have to enter the UPI PIN. This completes the process of creating a new mandate.

Autopay Services

Once, the UPI Auptpay Features gets activated in the UPI apps, you can perform the following tasks.

• Set Autopay
• Approve Autopay Request
• Pause Autopay
• Cancel the ongoing Autopay
• Check History
• Verify Upcoming Payments

Autopay Methods

Friends, you might know that there are two main ways to pay through UPI. In the first method, you give the details of beneficiary, enter the amount and send the money.

In the second method, the beneficiary gives the details of the sender, enters the amount and requests for money. The Sender receives a notification and approves the payment by entering the UPI PIN.

The UPI Auto-pay also works in the similar fashion. It has three ways of setting a new Autopay.

1. You Initiate the Autopay

In the first method, you yourself go to the Autopay Section of the UPI apps and give all the details of billers and your account. Once you approve the Autopay, the money automatically gets deducted from your account.

2. Biller Initiates

Whereas in the second method, the biller asks your UPI ID and sends a request to approve the autopay. As you approve the request, the Autopay gets activated.

1. The biller has again two methods to send a request to you. In the first method, the billers ask your UPI ID. As you enter the UPI ID on the Biller’s website, The biller sends a request.
2. In the second method, you have to scan the QR code of the biller using your UPI app. As you scan the QR code, you would see a notification from your app. So, you can set the Autopay by approving the request.

3. Autopay Intent

There is a third method to set Autopay. In this method, as you choose Autopay at the merchant site, you would see the icons of UPI apps installed at your mobile. Now you have to choose the desired app. Now You would see a request to approve the Payment. You can do that by entering the UPI PIN.

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So that’s all about the Autopay. I would add further as the UPI apps incorporate this feature. Meanwhile, you can subscribe, my newsletter to get the notification about the new post.