Since its launch on August 25th, 2016, BHIM UPI has transformed the Indian payments landscape. With over 40 million distinct users, it has become a popular choice for quick and easy transactions. In May 2018 alone, there were nearly 190 million transactions worth around Rs 33,300 crores processed through UPI. This growth is a testament to how people are embracing digital payments.
But as more people start using this payment method, concerns about safety and security naturally arise. In this blog, we’ll explore the various security features of BHIM UPI to help you feel more comfortable with your online payments. Let’s dive into the essential aspects of security that make UPI Pay India a reliable option for your transactions.
What is BHIM UPI?
BHIM UPI (Bharat Interface for Money Unified Payments Interface) is a digital payment platform that allows users to make instant money transfers using their mobile phones. Unlike traditional payment methods, UPI enables users to link multiple bank accounts to a single mobile application. This convenience, coupled with robust security measures, has made UPI payment app wallet an essential tool in everyday transactions.
Key Security Features of BHIM UPI
Virtual Addresses
One of the standout features of BHIM UPI is the use of virtual addresses instead of sharing actual bank details. This means you don’t have to share your confidential account numbers or card details with anyone. Your virtual address acts like an email ID for transactions, enhancing security.
Two-Factor Authentication
Every transaction requires two-factor authentication. This means that apart from your BHIM UPI PIN, your device information is also used for verification. This includes your Device ID, operating system, and mobile number, which are collectively known as the device fingerprint.
Strong Mobile Verification
Instead of using a conventional OTP (One-Time Password), BHIM UPI uses push SMS for device verification. This ensures that your mobile number is strongly bound to your device, adding another level of security to your transactions.
Secure PIN Storage
Your BHIM UPI PIN is stored securely and is not accessible to the app or the payment service providers. It is encrypted in the NPCI library, ensuring that only you can access it.
Easy PIN Reset
If you ever forget your BHIM UPI PIN, you can change or reset it easily using the app. Some banks even require additional verification, such as an ATM PIN, before allowing you to reset your UPI PIN. This extra step provides higher security for users.
Mobile Number Verification
To enhance security, users cannot create a UPI ID with someone else's mobile number. You can only create a UPI ID using a mobile number that you own and have access to. This eliminates the risk of unauthorized users creating UPI IDs linked to your number.
Recipient Name Display
When you enter a BHIM UPI ID for a transaction, the app fetches and displays the name linked to that ID from the bank's core banking system. This way, you can confirm the recipient’s identity before proceeding with the transaction.
Verified Merchant Tags
If you receive a collect or money request from a verified merchant, it will have a 'verified merchant tag.' This tag confirms that the payment is going to the correct merchant, giving you peace of mind when making transactions.
Real-Time Fraud Management
UPI transactions are monitored by a real-time Fraud and Risk Management (FRM) system by the NPCI. If a certain threshold of transactions is reached, further transactions may be declined for 24 hours. This system helps prevent potential abuse and protects your funds.
Negative List for Fraud Prevention
The NPCI maintains a negative list of mobile numbers flagged for fraudulent activities. Any transactions involving these numbers are automatically blocked, adding another layer of security for users.
Device Restrictions
To protect users further, BHIM UPI does not allow access from rooted or jailbroken devices. This restriction is in place to avoid any risks associated with unverified device operating systems.
Third-Party App Security Audits
Before any UPI payment app wallet goes live, it must undergo rigorous third-party security audits. These audits check the app for vulnerabilities and unauthorized access. Only after passing these tests can the app be used for transactions, ensuring high standards of security.
Conclusion
With these robust security features, BHIM UPI offers a safe and convenient way to make digital payments. Whether you’re transferring money to a friend or paying for goods and services, you can do so with confidence. As a final note, consider exploring the Bajaj UPI Lite App, which offers an enhanced user experience while maintaining high security standards.
By understanding these security measures, you can enjoy the benefits of digital payments without worry. So go ahead, use UPI Pay India with confidence and embrace the convenience of digital transactions.
