The National Payments Corporation of India (NPCI) has announced a game-changer in the world of digital payments – the introduction of the Unified Payments Interface (UPI)’s ‘Tap & Pay’ functionality. This method is set to enrich the transaction experience for users of BHIM, Gpay, Paytm, PhonePe, and other UPI-enabled apps.

Key Points:

‘Tap & Pay’: A new UPI payment mode, introduced by NPCI, set to enhance UPI transactions.

NFC Compatibility: Requires NFC capability in the user’s device for ‘Tap & Pay’ functionality.

Default Activation: Enabled by default for users without an option to manually disable, akin to other UPI modes like Scan and Pay.

Transaction Limits: The existing UPI transaction limits apply to ‘Tap & Pay’ transactions.

Features:

NFC-Driven Transaction: Involves tapping the payer’s device against NFC-enabled receivers to retrieve UPI ID/VPA.

Activation and Limits: By default, no manual deactivation option, and adheres to standard UPI transaction limits.

Compatibility: Requires NFC-capable devices for seamless ‘Tap & Pay‘ transactions.

Transaction Security: PIN confirmation for transactions above ₹500 or without UPI LITE enabled.

Step-by-Step Guide for ‘Tap & Pay’ Usage:

Open UPI App: Launch the UPI application supporting ‘Tap & Pay’ (e.g., BHIM, Paytm).

Select ‘Tap & Pay’: Locate and tap on the ‘Tap & Pay’ icon within the app.

Enter Amount: Input the transaction amount.

Tap Devices: Bring the NFC-equipped device close to the receiver’s device and tap. Enter PIN if prompted.

Transaction Confirmation: Upon successful completion, receive a transaction success confirmation on-screen.

This ‘Tap & Pay’ feature heralds a new era in UPI transactions, offering a simple, secure, and efficient payment method using NFC technology.