{"id":4531,"date":"2023-08-14T09:14:48","date_gmt":"2023-08-14T09:14:48","guid":{"rendered":"https:\/\/www.paytmmoney.com\/blog\/?p=4531"},"modified":"2023-08-14T09:14:48","modified_gmt":"2023-08-14T09:14:48","slug":"the-language-of-upi-jargons-made-easy","status":"publish","type":"post","link":"https:\/\/www.paytmmoney.com\/blog\/the-language-of-upi-jargons-made-easy\/","title":{"rendered":"Tired of complex financial terminologies? We are here to decode them for you!"},"content":{"rendered":"

The full form of UPI is Unified Payments Interface which is a payment method introduced by NPCI (National Payments Corporation of India). It is a major step taken by India to move towards a cashless economy by providing instant money transfers using a mobile phone where the user can link multiple bank accounts in a single app without having to go through the pain and complexity of providing a bank account number or IFSC code for making payments.<\/span><\/p>\n

Let\u2019s learn about the UPI jargon below:<\/span><\/p>\n

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  1. NPCI<\/b>–<\/strong> The full form of NPCI is National Payments Corporation of India which is an umbrella organization launched by the Reserve Bank of India (RBI) and Indian Banks\u2019 Association (IBA) under the provisions of the Payment and Settlement Systems Act, 2007, for creating a robust Payment & Settlement Infrastructure in India.<\/span><\/li>\n
  2. Payer<\/b>–<\/strong> The payer is a person who intends to pay\/invest money.<\/li>\n
  3. Payee<\/b>–<\/strong> The payee is a person\/merchant who intends to receive money.<\/li>\n
  4. Issuing Bank<\/b>–<\/strong> The issuing bank, also known as the payer\u2019s bank\/sender\u2019s bank is the bank that is responsible for debiting the money from the payer\u2019s account on NPCI\u2019s request after receiving the payer\u2019s authorisation and also sending the successful debit response back to NPCI.<\/li>\n
  5. Acquiring Bank<\/b>–<\/strong> The acquiring bank, also known as the receiver\u2019s bank is the bank that is set up on the merchant end of the UPI transaction. It is the bank that is responsible for crediting the money on NPCI\u2019s request and also sending the successful credit response back to NPCI.<\/li>\n
  6. PSP<\/b>–<\/strong> The full form of PSP is Payment service providers which are entities authorized by NPCI to process the UPI payments. They act as a bridge between UPI and merchants helping them to accept online payments in a safe and secure manner. Paytm, PhonePe, Google Pay are some of the popular examples of PSPs.\n