In India, small, family-owned shops control almost 90% of the nearly $910 billion retail market, although they rarely accept credit cards because of the 2% to 4% fees they charge. Several smaller merchants along with customers were enticed to use UPI-based payments after the government banned transaction fees in 2022.

Mobile payments were made easier to use through interoperability, but it also made switching between apps very easy, requiring companies to offer rebates and other incentives to keep customers.

Indian consumers are increasingly embracing digital technology, making UPI a more advanced payment system than other payment systems available around the world.

What’s UPI full form?

A UPI full form stands for Unified Payments Interface. It is also a method of transferring funds between bank accounts across a single window, so you can send money, receive money, and even pay somebody by scanning a quick response code (QR) for online shopping, paying bills, or authorizing payments.

What is UPI ID?

A UPI ID is how your phone identifies you on UPI (usually your name@bankname). You must have a bank account that is integrated with UPI to use any payment platform.

UPI IDs and Virtual Payment Addresses (VPA) eliminate the need to provide information such as your bank account number,branch address, bank name, and IFSC code every time you transfer funds.

A wide selection of UPI-enabled mobile apps can be found in India, including AmazonPay, Googlepay, Phonepe, Paytm, CRED, etc. All of these apps are designed to be used with a unified payment interface (UPI) through the National Payments Corporation of India (NPCI) app, Bharat Interface for Money (BHIM).

UPI ID meaning

UPI IDs are virtual payment addresses, which every UPI user can use to send money. Money transfers are made possible by UPI on mobile apps.

What is my UPI ID and how do I find it?

To activate UPI, you must create or find your UPI ID. Whether UPI app you select, the steps to create or find your UPI ID are typically the same or similar for all UPI apps. You must follow the following steps:

Step 1 – The UPI enabled app you choose will prompt you to enter a four-digit code when you open it.

Step 2 – You can use the number that is associated with your bank on your smartphone if it has dual SIMs. The app will verify this number on its own.

Step 3 – You will be asked to select your bank, once you have identified your mobile number and bank account; you will be shown your UPI ID; your mobile number is registered with your bank. For example, a mobile number of 4444455555 would be 4444455555@upi on your phone screen.

That is all there is to it.

Using Mobile banking Applications to find UPI IDs

There is slight difference in how a UPI ID is found and created in bank apps.

  1. Verifying your registered mobile number is the first step.
  2. As soon as you verify it, the app will prompt you to create a 4-digit PIN.
  3. On the UPI app, you can find your UPI ID in the ‘My Profile’ section.
  4. Banks app typically use the UPI ID yourname@bankname.

Follow this to check BHIM UPI ID

  • First Install BHIM App in your smart phone.
  • You can now login with your password for the BHIM app.
  • You can now view your QR code along with your UPI ID by selecting the “Profile” option from the main screen.

Follow this step to check your Google pay UPI ID

  • Open your Google Pay app
  • Now login with your app password
  • Once you have logged in, successfully, tap the photo on the top right of the screen.
  • You can tap the bank account
  • Tap the UPI-linked bank account
  • UPI Ids can be found under UPI IDs

Types of UPI ID format available in India

UPI IDs can be formatted in several ways, such as 9000000000@bank, which uses either the first name of the user, the first part of their email address, or their mobile number, while “bank” represents the bank that provides UPI ID services.

The UPI ID of a user in a payment app such as Easebuzz is typically their phone number@UPI, e.g., XXXXXXXXXX@Easebuzz. The best feature is that users can make payments without knowing the recipient’s UPI ID through UPI payment applications these days such as Phonepe, Paytm, Googlepay, or CRED.

Using the phonebook or entering the recipient’s number manually is all that is required to proceed with the payment, as the receiver’s bank details associated with that number are automatically entered into the system.

Paying with UPI: Features

1. Using UPI is Free

Since January 1, 2020, the government of India has mandated a zero-fee UPI framework. This means both users and merchants will not be charged a fee for UPI transactions.

2. A stronger security system

You do not have to disclose your bank account number, credit card number, or debit card details as UPI offers payment through a UPI ID or Virtual Payment Address (VPA). Selecting UPI will protect you from fraud during digital transactions. It is convenient and easy to remember.

3. Instant Money Transfer via UPI

A bank holiday will not affect the payment of UPI funds. UPI funds can be transferred at any time, regardless of non-banking hours or days. The use of UPI enables you to transfer funds between bank accounts over the phone, to pay for EMIs, to send money to a friend, paying educational fees, or to make payments to businesses.

4. All bank accounts can be accessed through the same UPI app.

There is a misconception that BHIM SBI Pay only supports SBI bank accounts, but that is not true. A user can choose the UPI app of their choice and link both SBI and non-SBI accounts to the app. Pick the app that gives you maximum convenience and options.

5. UPI reduces payment declines and timeouts

In a report published on August 3, 2022, NPCI indicated it would develop a new feature that will mitigate any problems related to declined or time-out payments in UPI transactions. In contrast to current UPI transactions unblocking, which takes close to 24 hours, banks could act immediately, in less than 30 seconds.

6. Credit card integration with UPI

UPI, which emerged as a major transaction medium, are expected to benefit fintech platforms by linking credit cards to UPI. A link between Rupay credit cards and UPI, the country’s most widely-accepted payment method, will be initiated in the initial stages.

7. Transactions minimums are not imposed

The UPI payment method does not have a minimum transaction limit, which means people who use it on a regular basis to make purchases can do so for as low as Re 1.

8. Internet Free

Even though UPI requires a smartphone and working internet to conduct transactions, the app can be used without an internet connection. To initiate these transactions, consumers need to simply send as SMS message. As a result, people of all social classes can participate.


The UPI system has made life very easy. Now money can be transferred at the touch of a button. Not only is this quick, but sending and receiving money is also safe and secure against data theft.

With UPI enabled payments, you do not have to remember or share your bank account details. This makes UPI transactions among the most secure, seamless, and hassle-free in the world.


The author writes about fintech, banking, and future of SAAS services. He works as an SEO analyst at Easebuzz, so if you're looking for an account that tracks India's fintech scene, you should check out his Easebuzz blog.