How to create UPI ID and register for UPI payments for easy transactions?

Published on: 22 August 2023

Knowing how to create UPI ID is an easy solution to enjoy seamless transactions. Thanks to digital advancements and the launch of the UPI facility, you no longer have to visit a bank to transfer money. Unified Payment Interface (UPI) enables you to transfer funds effortlessly from your account to another in seconds. 

How to get started?

Simply create a UPI ID for your bank account. With it, you can enjoy several benefits that come with online transactions. But for that, you need to complete the UPI registration process. 
Read on to learn how to set up UPI and more.

What is UPI and why is it important?

Before learning how to create UPI ID, understand what it is and why is it important. Governed by the Reserve Bank of India, UPI is a payment platform that changed the way people transact. One of the key benefits it offers is instant secured payments from one account to another with minimal information as compared to traditional methods like IMPS and NEFT. 

Transferring funds through net banking and other traditional modes requires a lot of information about your along with the recipient’s bank account. Moreover, you have to add beneficiaries and wait for about 30 mins to 1 hour before you can transfer funds. But with UPI, you can transfer money directly with just a UPI ID or mobile number within seconds.

To use this interface for transactions, you need to complete the UPI registration process first. This is crucial as it gives you access to the UPI platform. Once you complete it, you can make payments easily. Be it for online shopping, utility bills or even credit payments, you can transfer the money you want seamlessly and securely with your UPI ID number.

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Understanding UPI registration and UPI ID

To begin with, the UPI registration process, link your bank account to the UPI app. For that, create your UPI ID, also known as VPA (Virtual Payment Address), by providing details like: 

• Your account number
• The IFSC code
• The mobile number mapped to your bank account

Once done, you will get a UPI ID number and a UPI ID. 

If you are wondering what is UPI ID number, it is a UPI ID with your mobile number as the primary UPI ID. The mobile number has to be linked to the UPI app and your bank account. You can use the ID as well as the number to make transactions through any UPI app installed on your smartphone. 

A step-by-step guide to creating UPI ID and registering for UPI payments

To activate or create UPI ID, you can use any of the UPI applications available on Google Play or the App Store. Some of the top and most common UPI applications are Google Pay, PhonePe, Paytm and BHIM. 

Once you have installed the one you want, follow the steps outlined below to complete the UPI activation process: 

• Register with the mobile number linked to your bank account 
• Complete the verification process
• Go to your profile or account section
• Select the ‘Bank Account’ option
• Choose the account you have
• Complete the verification through an OTP sent to your registered number

After you complete the UPI activation process, you will see multiple UPI IDs and numbers available under the profile section of the app. You can choose and edit any of the options as per your wish and click on ‘Activate’. You will receive an OTP for verification. Enter the code to complete the process. 

At this stage of your UPI activation process, you will need to select a UPI PIN. This is a 4 or 6-digit number that acts as the authorisation key for your UPI payments. Make sure you add a strong PIN and remember it. You need to provide your debit card details to set up your PIN, so make sure you have the information on hand. 

Now that you know how to activate UPI and the various benefits of UPI payments, make sure you practice online hygiene practices for added security. Once you have it set up, you can use it for easy and quick transfers. You can even check your utility bills and other dues like loans on some UPI apps and pay your EMI easily with just your UPI ID number. 

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FAQs on UPI ID

How to open a UPI account?

To open a UPI account, first download a UPI app, such as Google Pay (Gpay) or PhonePe. Then, create a UPI ID by completing the registration process. After you activate your UPI ID, set a PIN to get started. Make sure you enter the right information about your bank account and the mobile number linked with it. 

What is the UPI code?

A UPI code is the PIN and ID you set when you create your UPI ID number. You require these details to complete any UPI transaction.

Can I open a UPI ID without a bank account?

No, you need a bank account in order to create your UPI ID.

Is it safe to share UPI ID?

Yes, sharing your UPI ID is safe as it does not contain any sensitive information. However, make sure you do not share your UPI PIN. Generally, your UPI ID is in the following format: yourname@bankname and registeredmobilenumber@bankname. 

Can I use UPI without mobile banking?

No, you need to activate mobile banking or internet banking to make payments through UPI.