Single-block-and-multiple debit in UPI

At the end of the recently held Monetary Policy Committee’s Meeting, RBI Governor announced that UPI’s capacity will be enhanced through the introduction of single block and multiple debits functionality, enabling the users to block funds in their accounts to be used when in need. He also announced the expansion of the scope of BBPS to include all categories of payments and collections.

What is the single block and multiple debit feature of UPI

  • The single block multiple debit feature of the UPI will enable users to separate and block funds in their accounts for specific purposes.
  • This feature enables customers to create a payment mandate against a merchant by blocking funds in their bank account for specific purposes that can be debited as per the needs.
  • It will enable ease of e-commerce transactions and smooth transactions in securities market.
  • It will be especially useful for hotel bookings, purchase of securities in the secondary capital market, and purchase of government securities using RBI’s Retail Direct scheme.
  • This will ensure merchants the timely payments from customers, while the funds will remain in the customers’ account until the actual delivery of goods or services is made.

Increasing the scope of BBPS

The Bharat Bill Payment System (BBPS) was launched in 2017 as an interoperable platform operated by the NPCI Bharat BillPay Ltd. Its purpose is to facilitate the bill payment requirements of customers and billers. Currently, it does not support non-recurring payments or collection requirements of individuals even if they are recurring in nature.

Now, the central bank has decided to extend the scope of BBPS to cover all both recurring and non-recurring payments. This will enable BBPS to become accessible to wider set of individuals and businesses. It will ease payments like education fees, tax payments, rent collections etc. It will increase transparency, ensure uniform payments experience, faster access to fund and improved efficiency.



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