Yes Bank on Wednesday has launched its unified payments interface (UPI) services by partnering with 50 businesses to enable easy fund transfer and move towards a cashless economy.
 
The UPI framework developed the national payments corporation of India (NPCI) with the reserve bank of India (RBI), will enable low cost, high volume, electronic payments straight from the user’s smartphone, and will make transactions instant, secure and interoperable.
 
The bank aims to replace cash on delivery (CoD) with digital payments for Flipkart, Myntra and Jabong, through its partnership with Phonepe, a mobile payment application.
 
“At Yes Bank, we continuously strive towards making India a cashless economy and a superpower in the digital payments arena; I am confident that the advent of UPI, backed with our unparalleled personalised innovations, will pave the way towards a seamless, fully integrated payments architecture and delivery network in India,” said Rana Kapoor, MD and CEO, Yes Bank.
 
AP Hota, managing director and CEO, NPCI, said, “We are delighted to see Yes Bank taking innovative steps towards utilising UPI platform to on-board large merchants. This will help percolate usage of UPI platform by retail customers.”
 
Trupay, mobile payment gateway, will utilise Yes Bank’s UPI service for broking/NBFC/Power Sector payments. The bank will also power the industry’s first UPI based education fees payments through the tie-up with Instafeez. Capital Float, a digital finance company, will be utilizing Yes Bank’s UPI mechanism to collect payments from their SME borrowers.
 
The private bank is also engaging with merchants on various other genres including cab aggregation, mutual funds, insurance and other B2B use cases.
 
UPI features
 

• UPI will enable secure, instant payments using just a virtual ID and a mobile PIN, eliminating the need to exchange sensitive information such as bank account/debit/credit card numbers.
• Last-mile payments will become fully secure and digitised with lower transaction failures.
• Merchants can use simple collect APIs to receive money from consumers.
• UPI based transactions will be cheaper in comparison to card and wallet transactions.