A new automatic withdrawal rule for the Reserve Bank of India’s Additional Authentication Factor (AFA) has been applied since October 1. The UPI auto-payment feature allows customers to use any UPI application for recurring payments such as electricity bills and EMI. Payments, insurance, mobile invoices, mutual funds, etc. up to Rs. 5000.
The following is a step-by-step guide on how to set up the BHIMUPI automatic payment feature to make recurring payments, following the details shared by the National Payments Corporation of India (NPCI).
- UPI-enabled applications have a Delegation section. Through this section, customers can create, modify, suspend, and revoke automatic withdrawal delegations.
- The mandate section allows customers to view past mandates. UPI users can create electronic mandates via UPI ID, QR scan, or intent.
- The pattern of automatic debit delegation is created according to the customer’s spending on recurring payments. Mandates can be set once, daily, weekly, biweekly, monthly, bimonthly, quarterly, semi-annual, and yearly.
- Mandates are generated instantly and payments are automatically deducted on the date of approval.
- Customers must use UPIPIN to authenticate their account once, and subsequent monthly payments will be automatically deducted.
Setting up UPI automatic payments in the BHIM UPI app:
- Log in to the BHIMUPI app
- Click on automatic withdrawal
- Click on mandate
- Manage Mandates-Create new mandates or view past mandates
- Select payment frequency-monthly / weekly / yearly etc.
- Add the seller’s name and select an automatic withdrawal date
Banks, merchants and aggregators using UPI Auto-Pay include Bank of Baroda, Axis Bank, HSBC Bank, HDFC Bank, IDFC Bank, ICICI Bank, IndusInd Bank, Jio Payments Bank, Paytm Payments Bank and State Bank. Indian, YES BANK, and some others.