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Introduction

The world is fast moving towards automation and it is only apt to call this age a digital era. Whether it is groceries or apparel shopping, almost every need is available at our fingertips. This change in the way we shop is due to the advancement in e-commerce space. The shift in the trend of physical shopping from stores to online shopping resulted in the idea of e-wallets.

E-wallets have now made online shopping convenient and have also eliminated the need to carry around cash for any kind of shopping. With e-wallets, we can easily transfer cash from one account to another without involving physical money. As long as the buyer and seller have e-wallets, this is easy and quick.

PhonePe is a leading digital wallet using which you can transfer money through UPI, recharge prepaid mobile, make utility bill payments, and much more. Just add your bank account details and generate a UPI ID. Without worrying about recharging your wallet, you can begin shopping safely and securely. So, go ahead and download PhonePe today to enjoy great perks of online shopping!

What is a Digital Wallet?

In simple terms, a digital wallet is an electronic medium which lets an individual make financial transactions online. You can either use a computer or your smartphone for the same. When e-wallets were initially launched, a user had to transfer money from his bank account to the e-wallet account. Now, as e-wallets have advanced further, you can link your bank account directly to the e-wallet and avoid the lengthy process.

Introduction to PhonePe

Top Features of PhonePe

PhonePe is undoubtedly one of the most revolutionary apps since it has managed to transform the way cash was carried around in India. Here are some of the top noteworthy features of PhonePe:

  • The Country’s First UPI Linked E-wallet - PhonePe is known to be among the first apps which have government-backed Unified Payment Interface or UPI interface. Designed and set-up on the Immediate Payment Service (IMPS) infrastructure, PhonePe can be used for transactions involving two parties via respective bank accounts. The app uses unique identifiers like mobile number or VPA, also known as a unique address. The app lets users avoid IFSC or account details to be used during these transactions, thus making it a safe option.
  • No Need for Bank Account Details – Users don’t need to share any crucial information like bank details or IFSC code while using PhonePe. This is why PhonePe is trusted for providing a secure and guarded environment. Nearly 30 banks are available on this platform including SBI, HDFC, ICICI, etc. All you have to do is link your account with UPI and after verifying the details like your mobile number, you are good to go. UPI then retrieves your account information via a secure channel whenever you make any transaction. It is important to note that in case your bank is not active in UPI, you will not be able to link your PhonePe account with the bank account. However, you can continue to receive the refunds in your account from Myntra or Flipkart.
  • Hassle-free Authentication Method - PhonePe is hassle-free to use because it avoids multiple authentications. With PhonePe, you can transfer money from one bank account to another, without providing your card details or waiting for OTPs to complete the transactions. This is applicable even while paying for online or offline shopping.
  • No Need for Frequent Top Ups - The benefit of keeping your account linked to the app there is no need for regularly topping up your e-wallet account. After linking your account, you don’t have to worry about being out of funds since the money is directly debited from your bank account.
  • Easy Transfers, Payments, and Recharges – After your account is linked to PhonePe, you don’t need to physically pay your bills. You can simply log on to the app, tap on the requisite icon and pay your bills.
  • Increased Limit Per Transaction – PhonePe app is linked to your bank account and hence you can make payments of higher value even running into tens of thousands. PhonePe has increased the single transaction limit to Rs. 1 lakh. You can also enjoy the longevity of the wallet balance with PhonePe. Your account will remain active even if you only make two transactions a year.
  • Higher Security – Since PhonePe uses the government-backed platform, you can be assured of heightened safety for all your transactions.

Here is how you can use PhonePe for all your needs:

  • Shop online with various e-commerce platforms and easily pay using UPI
  • Make utility bill payments
  • Send or receive money using your phone contact list via UPI
  • Recharge prepaid mobile and also pay for DTH connections
  • Regularly check your bank account balance
  • Register a beneficiary
  • Use more than one bank account
  • Explore various cashback
  • Split bills and divide payments

How to download PhonePe?

Users can download the PhonePe app from Google Play Store. Alternatively, they can also download it from iOS platforms.

How to register a new user on PhonePe?

  • Step 1: Download the app and open it
  • Step 2: After following the first set of instructions on the app, you must do an SMS-based mobile verification. Then select ‘Let’s Get Started’
  • Step 3: Enter details like your name, email id and enter a unique 4-digit password
  • Step 4: Choose a VPA by selecting ‘Create New VPA’
  • Step 5: Choose the bank, post which the app will auto-detect your bank account details

How to add a bank account on the PhonePe app?

  • Step 1: Launch the PhonePe app
  • Step 2: In the menu, go to the Bank Account tab. Select ‘Add New Bank’
  • Step 3: Select the bank account through which money you want money to be debited from the options given
  • Step 4: PhonePe will automatically gather account details and link the app to the account
  • Step 5: Set up the UPI pin as a next step. Click on the option ‘set UPI pin’
  • Step 6: Enter the last 6 digits of the ATM or debit card pin and select the expiry date. Using OTP, you can then set up UPI pin

How to transfer money using PhonePe?

  • Step 1: Launch the PhonePe app
  • Step 2: Navigate to ‘Send’ option 
  • Step 3: Enter the VPA of recipient
  • Step 4: Plug in the transaction amount
  • Step 5: Choose the bank account through which money has to be debited
  • Step 6: Check all details and send

How to receive money using PhonePe?

  • Step 1: Launch the app
  • Step 2: Go to the home screen and select the ‘Request’ option
  • Step 3: Plug in the VPA of the sender
  • Step 4: Plug in the transaction amount and also key in the deadline for the request to be cleared
  • Step 5: Select the request option once you verify the details

Steps to Use PhonePe

After learning about PhonePe, let’s also get a glimpse on how to use it. Here are the steps to be followed:

  • Step 1 - PhonePe can be downloaded from Google Play or iOs Store. Android users can download it from Google play, whereas Apple users can download it from iOs Store. It is available for free.
  • Step 2 – After downloading, select the ‘open’ option on the app and plug-in your mobile number which is then verified. You may note that the mobile number which you verify must be the same as the one which is registered with your bank account.
  • Step 3 – Next, enter your basic details, like name, your email address and also the 4-digit pin for activating your e-wallet.
  • Step 4 – After it has been activated, select ‘Create New VPA’
  • Step 5 – Lastly, you only need to link your bank account to the e-wallet by choosing your bank from the list. The app automatically retrieves all the relevant details.

Benefits of Using PhonePe

  • The app is safe to use
  • PhonePe is one of the few user-friendly apps which takes very little time to get accustomed to
  • The app is available in multiple local Indian languages like Hindi, Tamil, Malayalam, Kannada, Assamese, Gujarati, etc
  • The app can be used 24/7
  • It allows quick money transfer
  • Avail instant discounts and various cashback on your transactions
  • No need to remember your bank account details like IFSC code since the app uses UPI

FAQs

1. What is VPA and how does it work?

Virtual Payment Address, also known as VPA is similar to an email id. It is a type of identification mechanism which is used for initiating send or receive requests on the UPI platform. VPA is unique for every user and they can choose it during the registration process itself.

2. Will I need to furnish IFSC code for sending money?

No. You don’t need to provide any bank related details for sending or receiving money. The only thing required for such transactions is the VPA which is provided to you at the time of registration.

3. What are the different payment options available in PhonePe?

PhonePe has two payment options, namely, Bank Account and PhonePe wallet.

4. In case my bank account is not active with the UPI, will I be able to transact?

You cannot make any transactions on the PhonePe app unless you add your bank account on the app.

5. Is there any transaction limit with PhonePe?

The maximum limit for PhonePe transactions is Rs. 10,000 per month. The limit for every bank account transaction is Rs. 1 lakh.

6. What are the transaction charges for PhonePe users?

There are no charges levied by PhonePe for any transaction.

7. Can I link multiple bank accounts on my PhonePe app?

Yes. You can do so easily on the main menu. Select the bank accounts and click on ‘add a new bank account’.

8. Is it possible to split a bill using PhonePe? How can I do it?

If you are out with your friends and want to split some bills, you can use PhonePe to split the bills easily. Here is how you can go about it:

  • Select the ‘Split a bill’ option on the menu
  • Plug in the VPA
  • Plug in the amount which is due
  • Check details and confirm the transactions

9. Funds got debited from my account but it did not reflect in the payee account. What should I do?

In such a case, the funds would be credited back into your account. In case the funds do not get credited back to your account within 48 hours, you may contact the customer care.

10. Is it important to have a bank account for using PhonePe?

Yes. You cannot use PhonePe without a valid and active bank account.

Latest & Update Phonepe News

PhonePe users can now Manage Multiple UPI IDs using the App22 Mar 2021

PhonePe users can now use multiple UPI IDs on the app. This is a great option for customers as they can make transactions on another UPI ID, if one bank’s UPI ID is temporarily down. With over 265 million registered users, PhonePe is one of the bigge...

Read more

PhonePe users can now use multiple UPI IDs on the app. This is a great option for customers as they can make transactions on another UPI ID, if one bank’s UPI ID is temporarily down. With over 265 million registered users, PhonePe is one of the biggest digital wallets in India. Customers can use UPI IDs from Axis Bank, ICICI Bank and YES Bank on the app. With this move, PhonePe promises seamless transactions for merchants as well as customers using the app.

PhonePe Users in Maharashtra can now complete Offline Payments without Scanning QR Codes3 Nov 2020

PhonePe, one of the top payment platforms in India, has announced that customers can now pay for their purchases at over 20 lakh brick-and-mortar outlets in Maharashtra without the need to scan QR codes. Customers can easily locate offline shops in t...

Read more

PhonePe, one of the top payment platforms in India, has announced that customers can now pay for their purchases at over 20 lakh brick-and-mortar outlets in Maharashtra without the need to scan QR codes. Customers can easily locate offline shops in their area by using the Stores tab on the PhonePe mobile app. They can then select their preferred local store and tap on the “Pay Now Feature,” to complete the payment without the need to scan a QR code. The payment can be completed using UPI, debit/credit cards, wallet, etc.

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