UPI 2.0, or Unified Payments Interface, was launched in August 2022 by the National Payments Corp. of India with some new features for the users. This led even the UPI users to link up their overdrafts with their accounts. As a rule, when you are shopping on the web, a receipt is produced after you pay the cash. However, with UPI, you get the receipt first and pay later. Likewise, when you shop on any site, you can close off the assets identified with a particular buy and afterwards compensate for it after item conveyance on UPI. QR codes are likewise installed in something similar for simple instalments now.
Why use UPI payment?
All these things enhanced the person to merchant (P2M) phenomena in the online trading market. The contribution boosted up from 2% in January 2022 to 12% in November on GMV of Razorpay’s platform. And the share of debit and credit cards fell from 74% to 55% in the same months, respectively. Razorpay is a leading company that helped businesses operate online while accepting digital payments through cards, wallets, UPI and anything from the customers.
- You can’t escape the budgeting phenomena!
In general, when you are shopping online, an invoice is generated after you pay the money. But with UPI, you get the invoice first and pay later. Also, when you shop on any website, you can block off the funds related to any specific purchase and then make up for it after product delivery on UPI. QR codes are also embedded in the same for easy payments now.
—as per CEO/Owner of H.E. Freeman Enterprises- Harry Freeman
Have a perfectly designed budget that must contain your debt payment plan, monthly saving and investments too. Track expenses daily, monthly or weekly and use your extra money wisely. You must design a plan to pay off the debt that should have columns like total debt taken, paid, yet to be paid, interest rate, due date etc. you can use a planner, any app or software for the same. Set target dates and pay off your whole debt with a motto. Choose through important payoff methods like-
- Debt snowball
- Debt avalanche
- Minimum Payments Only
Then go for paying necessities like High Priority, medium priority and low priority! Also, connect with your creditor and find out suitable plans, if he has any. Have planned spending that should contain your obligation instalment plan, month to month saving, and speculations. Track expenses every day, month to month or week after week and utilize your additional cash shrewdly.
- Always keep the safety net greater than pay down loans!
-As per Student Loan Expert at Student Loan Hero- Elyssa Kirkham
Always have a pre-saved and set emergency fund because it builds financial security. Before you pay the loan off, it is something that you must have. Usually, federal student loans have options like deferment or income-driven payment. So, you will have to save an emergency fund anyhow!
Due to all this, UPI transactions boosted to 405m in November 2022 from 30m in September 2017. As per the CEO and Co-founder of Razorpay, Harshil Mathur, UPI will be the final de-factor method for all payments till 2022. It may even be used as credit cards lately.