Freecharge digital payments platform has partnered with Axis Bank to launch Unified Payments Interface (UPI) enabled payment on its Android app. UPI will enable instant seamless transactions from a smartphone using a virtual payment address (VPA).
Consumers will be able to create a virtual address on the Freecharge Android app and link it to their bank account to register on the UPI platform. This feature will allow consumers to pay on Freecharge in a secure and swifter way for transactions in the first phase and over the next few weeks. Since this option is only available on the new version of Android app, users will have to upgrade to the latest version of the Android app to see this option while doing recharges/bill/utility payments.
Govind Rajan, CEO, Freecharge said,
We are very excited to be one of the first players to launch the UPI rails in partnership with AXIS Bank. The partnership allows Freecharge users to pay for transactions from their bank accounts and they don’t have to be existing customers of Axis Bank. With UPI we believe that customers will have a more seamless banking experience and we hope that the success rates would be a quantum jump over the Payment Gateway experience. In addition, UPI will transform not just payments but commerce by connecting consumers and merchants in a secure ecosystem.
Customers can create multiple handles/VPA linked to their bank accounts. When the customer makes the payment using his handle or Axis Bank’s VPA, he will be transferring money from his bank account to the merchant or beneficiary account without exposing the customer account details such as account number, IFSC code etc. The merchant or beneficiary will only be able to see the customer VPA in this process.
Consumers can register for UPI through Freecharge app. UPI eliminates the need for merchants to be PCI – DSS certified to store customers’ payment credentials as the Virtual Payment Address can be stored against the customers’ login.
Earlier this month, Flipkart’s PhonePe UPI based mobile payment app went live on the Play Store.