Now you can make UPI payments without internet:Benefit to over 20 crore feature phone users; available only in BHIM UPI

Fintech company PhonePe has launched a new payment service today for users of feature phones. The company has introduced the ‘PhonePe UPI 123Pay’ feature, which will allow UPI transactions to be made without an internet connection. Additionally, users will receive assistance through AI voice support in 12 languages. With this, PhonePe has become the country’s first major third-party application provider to launch this digital payment service for feature phone users. This will benefit more than 20 crore users in the country who are currently using feature phones. It is worth noting that this feature is currently only available in the government app, BHIM UPI. Let’s understand through QA how this entire service works and what benefits it will offer to common users… Question 1: What is the main objective of this new service from PhonePe, and how many people will benefit from it? Answer: The main objective of this service is to bring digital payments to those areas of the country where access to smartphones or the internet is still limited. According to PhonePe, more than 200 million feature phone users in the country will directly benefit from this launch. This step has been taken to promote financial inclusion and bring rural and semi-urban populations into the fold of digital payments. Question 2: How does this service work without the internet, and what is its technical specialty? Answer: PhonePe UPI 123Pay is built on a robust SMS-based architecture. It operates on the company’s own proprietary technology stack. Its biggest strength is that even in remote or rural areas where only 2G networks are available, transactions can be completed seamlessly and with high reliability. Question 3: How will customers get this service, will they need to download a separate app for it? Answer: No, there is no need to download anything separately for this. PhonePe has partnered with leading mobile manufacturing companies in the country such as Nokia, HMD, Lava International, and Itel Mobile. This service will come pre-bundled in the new feature phones of these companies. In the coming months, the company is also going to form similar partnerships with other handset manufacturers. Question 4: What tasks will feature phone users be able to perform through this service? Answer: With the help of this platform, users can perform various types of financial transactions: P2P Transfer: Users can send money directly to another person by entering their mobile number or UPI ID. P2M Transfer: Users can make payments directly to shopkeepers or merchants through their UPI IDs. Account Management: Additionally, users can manage their bank accounts, check account balances, and view their past transaction history. Question 5: Will it be possible for shopkeepers’ QR codes to be scanned using simple keypad phones? Answer: Yes, absolutely. Users of feature phones that have camera support can easily make Peer-to-Merchant (P2M) payments by scanning any UPI QR code at shops through this service. Question 6: What arrangements are in place to help those who will be using digital payments for the first time? Answer: For the convenience of first-time digital payment users, PhonePe has launched a voice-first, AI-powered helpline. This is not a simple or tedious IVR menu, but a customized voice assistant. This AI assistant can speak in 12 Indian languages in addition to English and helps users activate their accounts step-by-step and answers their basic queries. Question 7: What new features are planned to be added to this service in the future? Answer: The company has stated that updates will be released in the near future. These future updates will include several new capabilities, such as utility bill payments, mobile recharges, and [Aadhaar Redacted]-based onboarding for UPI registration. All these features will go live on keypad phones in the coming days. Question 8: What has PhonePe CEO Sameer Nigam said about this new initiative? Answer: Speaking on the launch, Sameer Nigam, Founder and CEO of PhonePe, said, “Over the last decade, UPI has completely transformed the way India pays. For us, the true meaning of working for India is to meet people where they are. Bringing UPI to feature phones will take the benefits of digital payments to every corner of the country and will help in connecting the next 300 million users to the digital financial system.” Question 9: How to register for this service without a smartphone or internet? Answer: The registration process on a feature phone is very simple: Step 1: Open the ‘PhonePe’ app pre-installed on your feature phone. Step 2: Read the Terms Conditions carefully and ‘Accept’ them, which will complete the automated device registration. Step 3: Select your bank from the given list. Step 4: Enter the last 6 digits of your debit card (ATM card) and its expiry date. Step 5: Set your preferred UPI PIN. After this, your UPI ID will be activated and you will be able to start transactions immediately. Question 10: What is the complete process to make payments using this app after registration? Answer: To make a payment, you need to follow these steps: Step 1: Open the PhonePe application on your phone and select the payment option (e.g., Scan Pay, Contact Book, or UPI ID). Step 2: If you want to send money via mobile number or UPI ID, enter it. On phones with a camera, select the ‘Scan Pay’ option to scan the QR code directly. Step 3: Verify the details shown, enter the amount you wish to send, and enter your UPI PIN. Step 4: Confirm by pressing the ‘OK’ button. On the next screen, you will see a message that the payment is successful.