Today UPI is the best way to digital payments. But many of us still not fully aware of its use. People want to know the use of UPI in SBI Pay, Paytm, Phonepe, Tez and other apps. In fact, all these apps are riding on UPI wave. After the launch of UPI, the mobile app payment has leapfrogged.
In this post, I would tell you the use of UPI in different payment apps. You would also learn a brief introduction to the UPI.
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Topics
UPI and Mobile Apps
UPI stands for Unified Payment Interface. It is payment system developed by the NPCI. The NPCI is a government-backed organisation which works to ease the payment systems in India.
The UPI facilitates the immediate fund transfer among all the bank accounts of India. It is a mobile based system and uses your mobile number for authentication. This payment system can be used only if you have linked your mobile number with the bank account.
Learn More: Unified Payment Interface (Ultimate Guide Updated For 2018)
To use the UPI payment system we need a mobile app. The app communicates with the UPI system and facilitates the fund transfer. But to keep the whole system secure, a bank has to play the role of intermediary. That is why every UPI app must be sponsored by a bank.
Every participating bank of UPI can sponsor or make many apps. The banks have made their own UPI based app such as SPI Pay, Baroda Pay, iMobile etc. On the other hand, they have also sponsored the apps of some other companies such as Yes Bank is sponsoring Phonepe, ICICI Bank and SBI is sponsoring Tez.
One-Time Steps to Use UPI App
All the payment apps which use UPI payment system follow same onboarding and Payment procedure. Thus, Be it is Phonepe, SBI Pay, Tez or any other UPI app the method would be same. When you download a UPI app, you have to go through some one-time steps. After completing these steps you can send or request money through your mobile app. These are the one-time steps.
Verify your Mobile Number
As I have told, a UPI app works on the basis of your mobile number. Since no two people have the same mobile number, this system easily works. That is why you have to verify your mobile number. Note, you can use only those mobile number which is linked to any bank account.
A UPI app finds out your mobile number just by sending an SMS from your number. Thus, if you have two SIM in mobile, choose the number which is registered with the bank.
Make a VPA/UPI ID
The UPI system gives you the facility to send money to a bank account without knowing the bank account number. It happens because of the VPA or UPI ID. The VPA stands for Virtual Payment address. We can use VPA instead of bank account to send money. The format of VPA is just like an email address e. g. [email protected], [email protected]
When you start using a UPI app, you have to make a VPA. Some payment apps give you the flexibility to make VPA as per choice. While some has limited this option to one or two. Rather, few apps automatically make a VPA using your mobile number such as [email protected]
Link Bank Account
To use UPI app, you have to link it to your bank account. It is necessary as fund transfer happens among the bank accounts. Fortunately, UPI system finds out your bank account number using your mobile number. You have to only tell the bank name. At a time, you can link only one bank account. However, you can keep other bank account listed in your app. Thus, whenever required, you can switch your bank account instantly.
Set UPI PIN
For the safety of your funds, a UPI PIN is required for fund transfer. You can send money to someone only after entering UPI PIN. This PIN is also a 4 digit number similar to the ATM PIN. However, you have to set it separately.
You can set UPI PIN from the app itself. To set UPI PIN, you should have your ATM card in front of you.
Uses of UPI App
Once you go through those one-time steps. You can very easily transfer money using your UPI app. In fact, UPI app is the easiest way to sending and receiving money. You can also check your account balance through this app. Note, this app is not an alternative to internet banking as it is limited to fund transfer and balance enquiry.
Send Money
The UPI app gives your many options to send money. You can send money to mobile number, VPA, bank account number or QR code. I find the contact number the easiest way to send money. However, you can use VPA or bank account number as well. Bank account number is quite useful to send money if the receiver has not yet adopted the UPI app. the Mobile number and VPA would not work for him.
The QR code is quite useful to pay money to the merchants. You can scan the QR code and Pay the required money. There would not be any need for asking mobile number or bank account number. These are the steps to send money.
- Enter the contact number, VPA or bank account number of the payee. The app would save these for further use.
- Enter the amount and remarks
- Choose the bank account
- Submit the UPI PIN and confirm payment. That’s it.
Request Money
The UPI app gives you unique facility to request money. This facility works if both payee and payer use the UPI app. The process is similar to the ‘Send money’. You have to enter the contact number or VPA of the Payer. Further, you should enter the amount and remarks. After the confirmation, the UPI app would notify the payer about the money request.
If payer wants to pay the money, he/she can accept the payment and confirm the payment by entering the UPI PIN.
Check balance
Along with the send and request money, you can also check your account balance through a UPI app. To do this task, you have to go to your listed bank account. You would find the link for bank account in the dashboard of the UPI app.
Along with the bank account number, you would see a link to check the balance. Tap on the link and enter the UPI PIN. It would immediately show your bank balance.
Using SBI Pay App
The SBI Pay app is the good app for checking bank balance as it shows all of your listed bank accounts on the first page. To reach a bank account, you have to just slide it. The link to check balance is also available along with the bank account.
It also shows the latest transaction on the first page. Thus, SBI Pay is good UPI app as all the functions are available at first page.
However, this app does not have the feature to pay your contact. You can pay only to VPA, Aadhaar, QR code and bank account. 
Using Paytm
Paytm is the most popular payment app in India. But, it has adopted the UPI system a little later. Since, it is not a dedicated UPI app, you have to find out the UPI icon.
The Paytm is promoting the payment through the QR code as it mainly targets to the merchants. It also does not give facility to send money on the basis of contact number. Rather, you have to enter the VPA, Aadhaar or Bank account number.
Also, The request money feature can be used only if you know the UPI ID of the payer. 
Using Phonepe
Phonepe is the most convenient UPI app. You do not require to enter a PIN or password to open the app. Unlike Paytm, it has given prominence to the UPI functions. You would find all the UPI functions in the first page.
It also gives a feature to send money to your another bank account. It is a new and useful feature.
The Phonepe app gives you the facility to add a reminder as well. 
So, In this post, I have given you a brief introduction of 3 UPI apps. You can find out the 5 best UPI apps of India. Choose the best app and enjoy the benefits of UPI.
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