The WhatsApp pay feature is slowly becoming accessible for Android and iOS users in India. As of now, it has launched in beta mode for smartphones and selected iPhones of Android. Whatsapp pay is just like the apple pay cash.
The Whatsapp pay function is only available in India (as of the time this post was written) and transactions will be made through the Unified Payment Interface (UPI). UPI is a payment method in which the user must link his bank account and have a UPI PIN separately to generate the transaction.
For payments, the user must enter the PIN number and provide the UPI ID or receiver’s phone number, if linked. The UPI to UPI transaction will allow the direct transfer of funds to the receiver’s bank account.
Configuration of the payment function
> Go to ‘Settings’ and then click on ‘Payments.’
> On the Payments page, add your bank account and complete your bank details.
> After having accepted the T&C, you have to verify your phone number through a text message. You will also have to enter your phone number linked to your bank account.
> After this, WhatsApp will show the banks linked to UPI. If you are a UPI user, you must select that bank account and, in case you do not use UPI, you must configure it.
> After configuring the UPI, you must enter the last six digits of your debit card number and the due date to create a Virtual Beneficiary Address (VPA).
Using Whatsapp Pay
> For Android users, touch the attach button and look for the option ‘Payment.’ For iOS, tap the plus sign and look for the payment option.
> The payment option will be available on individual chat screens. You can also send money to specific users in a group chat forum.
> After touching the payment option, you will be asked to enter the amount, enter your UPI PIN and agree to send the payment to the recipient.
> The receiver must also have the Pay function of WhatsApp for the payment to be successful. If the receiver does not have the function, it will not work.
While WhatsApp Pay seems to have made life easier, it is not compatible to make payments to e-commerce markets such as Flipkart, Amazon, etc. The function is not exclusively for making payments to shopkeepers or physical stores until the merchant is in your contacts. For brick and mortar stores, Paytm is considered to be used more than particular applications based on UPI, such as Tez.
On the positive side
Although there are other applications such as Tez and even Paytm for UPI transactions, the probability that an application is specially downloaded to make payments or transfers is still the lowest. But, if the payment option is available on WhatsApp, which has become a necessity for most, India’s digital payments unit will increase.