You can now use PhonePe for payments on feature phones
What's the story
PhonePe has launched a new service, UPI 123Pay, to enable feature phone users to make Unified Payments Interface (UPI) payments without an internet connection. The service is aimed at people who don't have smartphones or reliable mobile internet. Initially, it will be available on select devices from Nokia, HMD, Lava International and Itel Mobile. More manufacturers are expected to join later.
Service details
How does it work?
UPI 123Pay is built on an SMS-based architecture and works even in areas with limited 2G connectivity.
Users can make peer-to-peer (P2P) transfers using a mobile number or UPI ID, and merchant payments using a UPI ID or by scanning a QR code where supported.
The service also lets users check their bank account balance and transaction history.
Features
Registration process
PhonePe has announced that future updates will bring more features like bill payments and recharges, as well as Aadhaar-based UPI onboarding.
The registration process for PhonePe UPI 123Pay is simple and doesn't require a smartphone or internet connection.
Users just have to open the pre-installed PhonePe app on a supported feature phone, accept terms and conditions for device registration, select their bank from a list, enter the last six digits of their debit card along with its expiry date, and set their UPI PIN.
Payment process
How to make payments?
To make a payment, users can open the PhonePe app and choose an available payment option like mobile number, UPI ID, contact book, or scan and pay on supported camera-enabled feature phones.
They then have to select Pay to Mobile Number/Pay to UPI ID, enter the recipient's mobile number or UPI ID, verify details, and enter the amount before entering their UPI PIN and confirming the transaction.
Customer support
Voice-based helpline launched
To assist users with activation and basic UPI-related queries, PhonePe has launched a voice-based helpline.
The service supports English and 12 Indian languages.
The launch of this service marks a significant step in expanding UPI payment services beyond smartphones.
UPI 123Pay is part of the National Payments Corporation of India's (NPCI) framework to enable feature phones and other channels to transact without internet access.