UPI will remove a great feature due to fraud, QR code will be promoted for payment

National Payment Corporation of India (NPCI) soon plans to make a significant change in UPI. According to the media, NPCI could soon discontinue the "collect payment" facility on UPI in person-to-person payments but leave it available for large merchant payments. NPCI has decided to discontinue the facility on the Unified Payments Interface (UPI) system in order to address the rising concern regarding the "collect payment" facility leading to fraud.

This is a "pool-based" facility of UPI where the payment request is made by the merchant to the customer. In simple terms, when you choose the option of your chosen UPI app for payment during online purchases, you are redirected to that UPI app where you see the payment amount and must input the PIN and confirm it. This facility of UPI has been called the pull payment facility through which payment may be received by the merchant from the customer. This facility is not frequently utilized by the common man but is extensively utilized in business.

Nowadays many types of online frauds are happening. In one of these types of frauds, the pull payment feature of UPI is being used a lot. A pop up message comes on many people's phones and as soon as they enter the PIN, the money in their account is withdrawn. NPCI wants to stop this and promote QR codes and push payment.

Payment through a QR code is considered a safe technique. Even now, payment is done on many apps and websites through this method. For example, while making payment on IRCTC, instead of entering the UPI ID, the QR code of that payment appears on the screen. Apart from this, push system can also be promoted. That is, just like you normally make payment by opening the UPI app on your phone and entering your mobile or UPI ID.