What Is Vpa In Upi

Virtual Payment Address (VPA) is a unique financial identifier that is mapped to your bank account. It helps you to send or receive money in your bank account through Unified Payment Interface (UPI). The VPA replaces bank account details and you don't have to remember your bank account number, IFSC code, branch name, etc., for money transfers. Thus, it simplifies the UPI payment method. 

How are Transactions done Under VPA?

After you install a UPI-enabled application, you need to choose a UPI ID for all your further transactions. A VPA can be anything like your name, email id or even your phone number and is thus easy to remember. It is needed when you have to log in to your UPI-enabled application. One thing that needs to be ensured is that the mobile number that you have registered with your bank and the mobile number entered in the UPI application have to be the same.

After entering a valid VPA and specifying the amount to be sent/ received, a UPI PIN has to be entered that was set while registering with the application.

Advantages of Using VPA

There are a lot of advantages of VPA as it has eased transactions within bank accounts. A few are listed below

• Make payments from any account with your mobile number. The account should have sufficient funds.
• Using a single virtual payment address, transactions can be done via various bank accounts.
• For making payments, the recipient's virtual payment address and the amount to be paid are to be entered.
• You can also receive the payment by using your virtual payment address by entering a request for the other person, the amount and the remarks if any. When the other party accepts the request, the payment is credited to the recipient's account directly.
• The transaction can be easily tracked using a virtual payment address
• You can transfer funds at any time of the day or night.
• Money can be transferred and received even on weekends and bank holidays.
• Online banking apps generally need beneficiaries or payees on the website or the bank application. Using a virtual payment address, there is no need to take this tedious step.
• Using the unified payment interface, funds are not transferred to any e-wallet or any other intermediary. It retains the funds in your bank account and interest is also accumulated on the same.
• The UPI is a single interface wherein you can add all your accounts in a single application. 
• Your VPA is editable and you can change it anytime. Your VPA is unique and no two VPAs are the same.
• The above feature adds to the security of the transactions.
• If we consider the cost part of it, NEFT or RTGS transactions in banks levy charges and in the case of UPI almost nil charges are levied for any transactions.

How to Create a VPA?

Here is a simple step-by-step procedure of how to create a VPA on any UPI application.

Step 1: Open the UPI app that you have installed on your system or your mobile device.

Step 2: You can select the Profile option that is displayed on your home screen

Step 3: If you have already selected a VPA, that primary VPA will be shown on the screen

Step 4: You can select the additional sign to enter a VPA of your choice.

Step 5: The former part of the VPA can be chosen by you. This is before the @ sign. Some suggestions might be given by the application or you can choose your own VPA
Step 6: After this process, click on submit. 

AutoPAy in UPI

The National Payment Corporation of India has introduced the feature of autopay for regular payments. With the help of this, electricity bills, phone bills, and internet payments, which are periodic, can be done.

The below list indicates the names of banks and their partners:

Transaction Limits for Various UPI Apps

Google Pay

• Maximum of Rs 1 lakh per day for all UPI Apps
• Maximum request of Rs 2,000 from any individual or party

PhonePe

• Maximum of Rs. 1 lakh per day for all UPI Apps
• Maximum 10 times per day across all UPI Apps

BHIM

• Maximum of Rs 40,000 per transaction per day

General UPI Transaction Limit

The National Payments Corporation of India has set a limit as Rs. one lakh per day. The maximum number of transactions per day is 20. The upper limit for transactions varies from bank to bank and they are subject to change.

Conclusion

VPAs have made transmission of money online through UPI very quick and simple. All you have to do is to remember your 6 digit PIN and not disclose it to anyone. This will keep your bank account safe.

FAQS of  What is VPA in UPI?

1:Can UPI ID or UPI VPA be shared?

Yes, you can use either for sharing your address to receive funds or pay someone.

2:Can you change your VPA in a UPI app?

Yes. your VPA can be changed according to you and the username that you want.

3:Are UPI Id and VPA the same? 

Virtual Payment Address (VPA) is another name for UPI ID. Some of the apps, such as Phonepe, Google Pay, and Payzapp use the term virtual payment address.

4:Can you link multiple bank accounts to one VPA?

Yes. It is possible. The same VPA can be linked to different banks accounts.

5:Are UPI transactions free?

Yes, at present, UPI transactions are free of cost