How does a UPI ID work?

A UPI ID, or Virtual Payment Address (VPA), acts as a unique digital identifier that links directly to your bank account. It facilitates instant money transfers without requiring sensitive details like account numbers or IFSC codes.

• The sender enters your UPI ID or scans your QR code in a UPI-enabled app.
• The NPCI system identifies the linked bank account through the VPA.
• The payer authorizes the transaction using a secure UPI PIN.
• Funds are transferred instantly between bank accounts 24/7 via the IMPS infrastructure.