However, many people are getting confused between UPI Lite and UPI123, Here is a look at the difference between UPI Lite and UPI123.
What is UPI?
Word “unified payment interface“(UPI) refers to a smartphone application that enables users to transfer money between bank accounts. It is a mobile payment system created by the National Payments Corporation of India. Customers now have to enter personal information such as bank account numbers. There is no need to initiate a transaction by splitting or other financial statements.
what is UPI123pay
To ease cash-based transactions in India, RBI introduced UPI. For a large percentage of the smartphone-deficient population, UPI was unavailable. To solve this problem RBI introduced UPI123Pay. Customers will be able to use their feature phones for almost all transactions using UPI123Pay, with the exception of scans and payments.
How UPI123Pay Works
Step 1: Link his bank account with UPI123Pay.
Step 2: C Regenerate a UPI PIN using your Debit/Credit card.
Step 3: Call the IVR number and choose the service like money transfer, LPG bill or electricity bill.
Step 4: To send money the user has to first select the service before adding the recipient’s phone number. Then the sum and pin will be added.
Step 5: The user has two options to make the payment to the merchant. The first is to use the app, and the second is to pay through a missed phone call.
What is UPI Lite?
UPI Lite is an “on-device wallet”. To use UPI Lite, users need to first contribute money from their bank accounts to the app’s wallet. Users can make real-time payments without internet as it is an “on-device wallet”.
The maximum amount that can be transferred through UPI LITE is Rs. 200, and the maximum amount that you can have in your UPI LITE balance at any point of time is Rs. 2000, or any additional limit as may be prescribed by NPCI at times.
How UPI Lite works
You can access UPI Lite and complete UPI Lite transactions by logging into the app downloaded on your phone and providing the required information for biometric or pattern verification of the device. UPI Lite does not require a separate authorization or UPI PIN to complete the transaction.