How Can Current Account Holders Have UPI?

03-Jan-2025

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If you are working in the financial sector, or if you are a business professional, you know how important it is to have quick and secure payments. UPI has changed the game and made it easier for everyone to achieve this. The best news is that UPI is not available only for personal accounts anymore, it is for business accounts as well, Let’s discuss everything you need to know to get started.

What Is UPI?

UPI is an interface that lets you transfer money, immediately between bank accounts. You just need a smartphone, a UPI-enabled app, and your bank account linked to it. Whether day or night, any time of the day UPI will make payments fast and easy.

What Is a Current Account?

A current account is an account that you open for business organizations. Contrary to savings accounts, it allows more transactions and higher limits. It’s designed to handle your daily business payments and receipts smoothly.

Can Current Accounts Have UPI?

Yes, they can! You can use UPI with your current account to make and receive payments quickly. Many banks now support this feature, letting you manage your business finances even more efficiently.

How to Create a UPI ID for Your Current Account

Setting up UPI for your current account is simple. Follow these steps:

Download a UPI app: Choose any app like Google Pay, PhonePe, or your bank’s app.
Register: Open the app and select ‘New User Registration’.
Verify your mobile number: Enter the mobile number linked to your current account and verify it with an OTP.
Set a password: Create a 4 or 6-digit login password.
Add your bank account: Tap ‘Add Bank Account’ and select your bank from the list.
Enter account details: Provide your current account number and other details.
Set a UPI PIN: Create a 6-digit UPI PIN for transactions.
Confirm with OTP: Complete the setup using an OTP sent by your bank.
Start using UPI: You’re ready to make and receive payments instantly.

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FAQs

What is the UPI limit for current accounts?

Most banks set UPI transaction limits between ₹25,000 and ₹1 lakh per day. For the first 24 hours after activation, the limit is usually ₹5,000, which increases later.
Are there charges for using UPI with a current account?

Usually, there are no charges for UPI transactions. Still, check with your bank for any specific fees for certain services.
How many UPI transactions can I make in a day?

Most banks allow up to 20 UPI transactions per day.
Can I use GPay with my current account?

Yes, you can. Just check with your bank to ensure it supports UPI. Linking your current account to GPay is quick and easy.
Can I link my current account to PhonePe?

Absolutely. Here’s how:
1. Open the PhonePe app and log in.
2. Tap your profile icon on the top-left corner.
3. Go to ‘Bank Accounts’ under ‘Payment Methods’.
4. Select ‘Add Bank Account’ and choose your bank.
5. Follow the prompts to link your account.

Naina Rajgopalan

Naina Rajgopalan has a thing for numbers and a deep fascination to learn about all things finance. She's been money-wise from a young age and has always shared her knowledge and tips with those around her. Being a part of the content team at Freo, a neobank that offers flexible and customised financial products, along with benefits such as insurance on balance, safe & secure banking, and so on, Naina stays updated with the latest of what happens in the banking and fintech industries. She has taken upon herself to share her knowledge with readers across all walks of life to help them manage their finances and budgets better, so they can make better decisions while spending, borrowing, investing and saving.