Last Updated on March 9, 2022 by Anu Joy
Taking a leap towards transforming India into a digitally empowered society, the Reserve Bank of India (RBI) has introduced a new digital payment mode called UPI 123Pay for feature phones. The central bank of the country has finally decided to cater to a massive segment which is devoid of the digital payment facility. Feature phones cannot be used for digital payments due to the lack of advanced functionality of smartphones, including an internet connection.
RBI announced the new payment mode on March 8 while citing 40 crore feature phone users in the country who had limited access to digital payments.
How To Make UPI Payments Using UPI 123Pay?
Feature phone users will now be able to make UPI transactions via the UPI 123Pay digital payment mode introduced by the Reserve Bank of India. Praising the move, Biswamohan Mahapatra, chairman, National Payments Corporation of India (NPCI) said that UPI 123Pay will digitally empower millions of people across the country and help NPCI achieve its dream of billion-plus daily UPI transactions.
Surprisingly, the newly introduced payment mode does not require an internet connection to make UPI payments. All features except the scan and pay option will be available. In order to start making payments using UPI 123Pay, users need to link their bank accounts with feature phones.
There are options for different payments, such as person to person, and person to the merchant. For the convenience of users, UPI 123Pay will support two language modes—Hindi and English.
We believe the innovative functionalities offered on feature phones will provide a push to UPI in various geographies across the country and will transform the way payments are perceived.
Biswamohan Mahapatra, chairman, National Payments Corporation of India (NPCI).
Reportedly, the new UPI payment facility has been introduced after performing a series of pilot tests. The launch of the UPI 123Pay mode will certainly change the way feature phone users make their retail payments.
What do you think of the new UPI 123Pay facility introduced by the Reserve Bank of India? Do let us know in the comments section below.
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