The Reserve Bank of India (RBI) has permitted credit cards to be linked with the universal payments interface (UPI) for payments, broadening the reach of online payments in the country.
UPI, which was created in 2016, has played a critical role in revolutionizing the country’s economic growth and has become a popular digital payment system among residents.
The payment system via UPI (Unified Payments Interface) has been making lives easier.
UPI & Card Payments: Comparison
UPI vs Card Payments is a no-doubt discussion. Payments via UPI have become very frequent these days and the popularity of transactions via UPI is increasing day by day.
An important factor in its widespread acceptance is its simplicity of use: all you have to do is scan a QR code or enter the mobile number (connected to a default UPI address) of the recipient or seller to complete the transaction, enter the amount, your UPI pin and that’s it. The payment is done.
While many consumers have a variety of credit and debit cards, the process of paying using cards can be cumbersome.
First and foremost, you must have the card with you at the moment of the transaction. The card must then be swiped. It frequently includes an OTP that is sent to the buyer for confirmation.
Payments could initially be made by connecting a bank account to UPI. Later UPI apps, on the other hand, began to allow users to add credit and debit cards to make payments to retailers. So, you are now able to just scan and pay through credit cards to non-retailers just by adding your card to the UPI.
Payments can be made without having to swipe a credit or debit card at a POS machine by adding credit or debit cards to UPI apps.
To make a payment, simply scan a QR code and select the additional credit/debit card as a payment option. When you make a payment with a credit card UPI app, a one-time password (OTP) is issued to your registered mobile phone to complete the transaction.
How to Add a Credit Card to Bhim UPI?
Adding a credit or debit card as a payment option is the first step in paying with Bhim. Given below are the steps on how to add a credit card in Bhim UPI:
Step 1: Launch the app and select your display picture from the menu.
Step 2: Go to the payment methods. You’ll be able to see all of your bank accounts that have been linked to the app. To add a credit card to Bhim, click on ‘Add credit card’.
Step 3: Now enter your card number, expiry date, CVV, and cardholder’s name and billing address. Click on Save.
Step 4: A pop-up will appear asking to accept the terms and conditions. After accepting it, click on ‘Activate’ and your credit card has been added to your Bhim UPI.
For further validation, you might need to verify your credit card. To verify this, do as per the instructions appear and a one-time password (OTP) will be sent to your registered mobile number.
Enter the OTP and your card will be verified. Now, you are ready to make transactions through your credit card via UPI app.
The steps to add your credit or debit card to any of the UPI apps (PhonePe, Paytm, Gpay, etc.) will be similar to as given above.
You can also use your credit card and pay via Google Pay UPI. The steps on how to use a credit card in google pay are nearly the same. The first step in using Google Pay to pay with a credit or debit card is to download and install the UPI app.
As per the GPay website, the following banks’ debit and credit cards can be added if they are processed through Visa or MasterCard payment gateways.
After adding your card to Gpay, verify it and voila, you can start paying now.
How To Pay UPI Payment Using Credit Card?
You can make UPI payments using credit cards once you have added your card to your UPI app. The steps to make UPI payments using credit cards depends on bank to bank. Similar steps are given below. Remember that one step or two might be different from bank to bank.
- Step 1:Launch your preferred UPI app and initiate your payment.
- Step 2:Enter the UPI ID of your Credit Card.
- Step 3:Verify the name and then enter the amount you want to pay.
- Step 4:Now, complete the transaction after entering your correct UPI PIN.
You can use any bank card and UPI app to make payments using a credit card.
Use your SBI credit card to make UPI payments:
- Step 1: Access the Paynet channel from the SBI Card/Mobile App.
- Step 2: Enter your SBI credit card number, the amount you wish to pay, and then select your UPI option.
- Step 3: UPI will be displayed. Choose either ‘Enter your VPA’ or ‘Scan QR code’
- Step 4: Enter your VPA handle. The QR code can also be scanned with any UPI app.
- Step 5: The payment must then be authorized.
- Step 6: A confirmation will appear.
- Step 7: The payment will appear on the credit card account as soon as it has been made.