Almost all Indians have heard of PhonePe and have it installed on their smartphones. The digital wallet platform was founded in 2015. As India’s largest digital payment platform, it offers a seamless and secure online payment system. This app allows merchants and vendors to scan QR codes to accept Unified Payment Interface (UPI) payments. From vegetable sellers to paying the electricity bill, use PhonePe, which is very convenient for the general public.
How does PhonePe work?
VPA, or Virtual Payment Address, is a type of identifier similar to an email address that is used to initiate both collect and send requests in the UPI network. This app offers a hassle-free interface, making it easy for the users. PhonePe accepts two types of payments: bank account and PhonePe wallet. There is no need to charge your wallet as money will be safely and directly deducted from your bank account at the push of a button. You can make transactions as per your PhonePe transaction limit per day.
It is imperative to do your KYC before using PhonePe. KYC stands for “Know Your Customer,” and it was imposed by the Reserve Bank of India to verify the identification of PhonePe customers. Users who do not complete KYC in PhonePe will not be able to add money to their wallet, send money, or be eligible for any offers that are only available to KYC clients. Additionally, the transactions on the app can be according to your PhonePe transaction limit per day. The app offers a plethora of services like splitting the bill with friends, recharging your mobile, DTH, metro card, paying rent, and much more.
Step by Step Process of using PhonePe
Here is the step by step process of making transactions through PhonePe
Install the PhonePe app
The app can be easily downloaded from the Google Play Store or Apple store with just a simple search for PhonePe.
You have to create an account and log in using your mobile number linked to your bank account. Click Create new VPA and select VPA.
Add bank account to PhonePe
- Go to the menu and the Bank Accounts tab. Click Add New Bank.
- Select a bank account to withdraw money from the list of available banks.
- PhonePe will automatically recognize your account details immediately and link your account to the app.
Set the UPI PIN
- To do this, click the UPI-Pin Settings option. Enter the last 6 digits of the ATM/debit card PIN and select the expiration date.
- Use the OTP received to set the UPI pin.
You can make transactions on PhonePe for transferring money as per the PhonePe transaction limit per day. Here are the steps to follow for transferring money:
- Go to the Send option
- Enter the recipient’s VPA
- Enter the transaction amount
- Select the bank account
- Confirm details and send
As a merchant or individual, you can receive money from your customers or anyone else. Keep in mind that every individual can transfer money according to their PhonePe transaction limit per day. Follow these steps to receive money:
- Go to the home screen and select ‘Request’ from the drop-down menu.
- Enter the VPA of the person you wish to borrow money from.
- Enter the transaction amount as well as the deadline for the request to be processed.
- After you’ve double-checked your information, select the Request option.
Transferring using QR code
You can also transfer the money by scanning a QR code. Again, you must be aware of your PhonePe transaction limit per day so that you can make transfers easily and without any hassle. These are the steps to make transactions via QR code:
- Click on the scan and pay icon on the top right corner.
- Scan the respective QR code with your phone camera.
- After scanning you will be directly taken to the page where you have to enter your UPI pin.