The UPI success story in India is going places and lastly we had a German official who was amazed by its ease of use. Now the UPI has gone a step further and enabled the money transfer through its medium from the Singapore-based Indian diaspora to the Indians back home directly to their bank accounts.
UPI-PayNow Enable Direct Transfer to Bank Account
It was in the month of February 2023 that the Indian Prime Minister Narendra Modi and the Singapore Prime Minister Lee Hsien Loong launched cross-border connectivity between UPI and PayNow via videoconferencing.
In a statement, the National Payments Corporation of India (NPCI) said that “This facility can be accessed by users of BHIM, PhonePe, and Paytm apps. Additionally, banks such as Axis Bank, DBS Bank India, ICICI Bank, Indian Bank, Indian Overseas Bank, and State Bank of India provide this functionality through their respective apps”.
It further added that the scope of the same shall be widened soon as it plans to add more and more third-party application providers (TPAPs) and bank apps which includes the likes of Bank of Baroda, Bank of India, Central Bank of India, HDFC Bank, Canara Bank, Punjab National Bank, IDFC First Bank, IndusInd Bank, Kotak Mahindra Bank, South Indian Bank, Federal Bank, Karur Vysya Bank and UCO Bank.
What are the Benefits of using and receiving funds via UPI-PayNow?
Key benefits include the swiftness, security, convenience as well as the cost effectiveness.
Since the transfer of the funds in real time, it is a matter of seconds that the fund reaches the recipient’s bank account.
There are robust security protocols in place for the linkages which ensure the safety and reliability of transactions.
Another feather in the cap of this is its cost effectiveness. Since the transaction fees for the same are competitive, it is just the service for small and frequent transactions for remittances.
Last but not the least, since the service is available 24/7, 365 days a year, it is very convenient.
