There was a time when India had only cash transactions, almost everyone was dependent. Using a bank checks was prestigious and royal back in those days. As time quickly moved, the master cards and Visa cards for credit and debit cards have entered the markets. People never really believed in cards and the withdrawal system of currency. Eventually, people adapted to new systems and became totally dependent on Visa and Mastercards.
As the new India began its digital revolution journey, it has improved significantly and developed. During the initial days of UPI, it received massive criticism across the nation, saying
* Who would believe this, or how will the poor use it?
* Lack of Internet and mobile phones facilities is this possible ?
* People earn 100 rupees a day, and you expect people to spend money online?
* Few political leaders have made major sarcastic jokes saying that to buy potatoes and tomatoes. Will people pay 7 rupees online ?
Another big challenge hit India as demonetization of 500 and 1000 rupees notes were banned. Many of us felt the struggle to stay long durations to withdraw cash from ATMs. This has created a major impact on people, switching their lives to online and digital payments. From using debit and credit cards to UPI transactions now. Paytm, Phone Pay, Google Pay and many other platforms have improved the cashless economy of India. All you need is a bank account, mobile phone and QR Code to access this transaction facility. Usually, Visa and Master's cards worked as middleman from banks to customers, but UPI eliminated that system and introduced direct bank and customer service.
Initially, trust was a big issue, as it was a big question, about linking mobile phones to bank accounts. After multiple campaigns and the COVID-19 pandemic, people had no other alternative but to use UPI. This created large-scale momentum across India with 8,800 transactions a second and a total of 314 lakh crore worth of transaction values after few years.
66 crore people use digital payment tools and many other countries, like Greece and African countries adopted UPI. The world is viewing it as a positive sign and is eagerly interested in the same kind of systems, which eventually harm VISA and master cards. UPI has become a problem to many US based currency transaction models.
