How To Transfer Money Using UPI In India | Business News

Last Updated:June 16, 2025, 15:00 IST

UPI is a real-time payment system developed by the National Payments Corporation of India (NPCI) which enables users to transfer money instantly using a smartphone.

In the digital era, transferring money is no longer a difficult task, thanks to the Unified Payments Interface (UPI) which has become an integral part of our daily lives. The advent of the payment method has led users to embrace cashless transactions. Whether you are paying for groceries, splitting a bill with friends or sending money to your loved ones, UPI has made financial transactions as easy as sending a text.

It is a real-time payment system developed by the National Payments Corporation of India (NPCI) which enables users to link multiple bank accounts to a single mobile app and transfer money instantly in a seamless process.

Before you begin the transactions using UPI, ensure you have a smartphone with internet connectivity, a UPI-enabled mobile app, a bank account linked to your mobile number, a registered UPI ID and a valid debit card to set your UPI PIN.

Step-by-Step Guide to Transfer Money Using UPI

Start by installing any UPI-enabled app like Google Pay, PhonePe, Paytm, BHIM and Amazon Pay.

The next step requires you to open the app and register using your mobile number.

Then, select your bank from the list and the app will automatically fetch your account linked to the mobile number.

Moving ahead, you will be required to create a UPI ID, followed by setting a UPI PIN.

Authenticate your debit card details (last 6 digits and expiry date).

In the next step, simply initiate the transfer. Well, there are several ways to transfer money via UPI:

UPI ID

Enter the recipient’s UPI ID (e.g., friend@upi).

Key in the amount and confirm by entering your UPI PIN.

Mobile Number

You can also choose the ‘Pay to Contact’ or ‘Mobile Number’ option.

Select the recipient’s contact or enter the mobile number registered with UPI.

Then, enter the amount followed by filling in your PIN.

QR Code

There is another option that requires you to simply tap the ‘Scan & Pay’ feature.

Scan the recipient’s UPI QR code, enter the amount and confirm with UPI PIN.

Bank Account + IFSC

Or, you can enter the recipient’s account number, IFSC and name.

Proceed with payment confirmation using your PIN.

After the transaction is completed, you will receive an instant notification of confirmation. The recipient, too, will be notified.

Business Desk

A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al…Read More

A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al… Read More

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Delhi, India, India

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