Paytm Payment Gateway has been offering subscription payment (autopay) solutions to businesses to help them collect recurring payments from their customers via different payment methods like Bank Mandates, Paytm Wallet, Credit Cards and select Debit Cards.
Now with RBI finally allowing UPI to also support recurring payments, Paytm payment gateway has led the payments innovation journey in India by being the first payment gateway offering UPI AutoPay to its users.
UPI became the preferred choice of payment for millions of Indians since its inception in 2016. During FY19 alone, UPI witnessed 5.39 billion transactions, exhibiting a 490% surge in volume and 700% jump in value in India. In the year FY20, there were 12.51 billion transactions worth Rs 21.31 trillion, a whopping 132% year-on-year rise in volume and 143% yoy uptick.
Paytm payment gateway has added the support of UPI to its subscription offering to help businesses provide the maximum payment options to its customers.
The UPI Autopay feature was the most recent launch of the National Payments Corporation of India (NCPI) at the Global Fintech Festival 2020. UPI Autopay is based on the simple concept of enabling payments automatically for recurring expenses.
The new feature allows users to opt for recurring automatic payments using any UPI app for up to Rs. 2,000 per month. Beyond the Rs 2,000 monthly limit, one would have to authenticate the mandate using the UPI PIN.
The AutoPay feature not only brings in convenience to customers but also helps businesses receive payments in a swift and timely fashion while enhancing retention. Recurring payments are particularly useful when paying monthly utility bills, EMIs, subscription fees, and even for investments such as mutual fund SIPs.
These recurring payment mandates can be created for the desired frequency, i.e., daily, weekly, monthly, bimonthly, quarterly, semi-annually, and annually, providing the user flexibility and control over payments. Besides the flexibility, the user has total control over payments: He/she can view all mandates and transactions and decide to pause or revoke mandates anytime on their UPI app
Thus, the AutoPay feature makes it super easy for customers to make piecemeal payments for subscription services such as OTTs and also eliminates the need to remember and type in lengthy authentication details. Thus, this new milestone in the payments ecosystem has further reduced human intervention.
How UPI Subscription works:-
- Merchant will ask customer to choose the subscription plan (with details like Frequency, Amount, End Date etc)
- Customer will activate the subscription by entering the mpin on their UPI app
- All subsequent payments will be deducted from the user’s bank account automatically
Paytm Payment Gateway supports UPI Autopay on its subscriptions product via multiple checkout options of Paytm PG like Custom Checkout, All-in-one SDK, Standard Checkout.
Further, with Subscriptions product, all UPI Payment experiences are available – UPI Push, Intent, Collect.
So, if you are in fitness, OTT, Education, Rentals industry, Subscriptions is the product for you.
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