The Reserve Bank of India (RBI) Governor, Shri Shaktikanta Das, has launched several new UPI-based digital payment features developed by the National Payments Corporation of India (NPCI).
These include Credit Line on UPI, UPI LITE X and Tap & Pay, Hello! UPI – Conversational Payments on UPI, and BillPay Connect – Conversational Bill Payments. RBI said the features are being introduced to help create an inclusive, resilient, and sustainable digital payments ecosystem. They are also aligned with recent monetary policy announcements.
Credit Line on UPI
This enables pre-sanctioned credit lines from banks via UPI as well as other features, including the creation of digital credit products by banks, the establishment of interest-free credit periods and corresponding interest rates and a defined schedule of charges. RBI said it will also encompass customer engagement channels for credit sanction requests, and the ability to link various pre-sanctioned credit lines via UPI-enabled apps for transactions.
Credit Line on UPI Is being introduced to expand access to credit as well as promote financial inclusion and innovation, RBI said. It is will have full interoperability as all UPI apps, including bank and third-party apps, will be able to discover and link credit lines on UPI, as well as provide end-to-end customer lifecycle services.
UPI LITE X and Tap & Pay
This feature has been launched for offline payments allowing users to send and receive money whilst being completely offline. It means that users can initiate and execute transactions even in areas with poor connectivity, such as underground stations or remote areas. UPI LITE X will be accessible to anyone with a compatible device that supports Near Field Communication (NFC). The speed of transactions is seen as a key benefit of UPI LITE compared to other payment methods.
In a significant move towards enhancing QR code and Near Field Communication (NFC) technology adoption, the RBI Governor also introduced UPI Tap & Pay. In addition to the conventional Scan and Pay method, users now have the option to simply tap NFC- enabled QR codes at merchant locations to complete their payments.
Conversational Payments
RBI first announced its intentions, last month, to use the language abilities of artificial intelligence to introduce “Conversational Payments” in UPI, building on a system that has transformed the digital payment landscape in India.
In the latest announcement, it said ‘Hello! UPI – Conversational Payments on UPI’ will allow users to make voice-enabled UPI payments via UPI Apps, telecom calls, and IoT devices in Hindi and English. It will also soon be available in several other regional languages. To complete a transaction users simply give voice commands to transfer funds before putting in their UPI PIN
“This expansion will broaden payment accessibility for most Indians who are fluent in their native languages, providing significant benefits to senior citizens and digitally inexperienced individuals,” RBI said.
With ‘BillPay Connect – Conversational Bill Payments’ Bharat BillPay has introduced a nationalised number for bill payments across India. It means users can pay their bills by sending ‘Hi’ on the messaging app while those without smartphones or immediate mobile data access can pay bills by giving a missed call. Following this, they receive an immediate call back for verification and payment authorisation.
BillPay Connect will be using a Voice Assisted Bill Payments facility, RBI said, allowing users to give voice commands on their smart home devices and get instant voice confirmation. Instant voice confirmations will also be enabled for bill payments made at physical collection centres through payment soundbox devices.
“This development aims to provide both customers and collection centres with added security and a sense of reassurance,” RBI added.
