How can Indian travellers use UPI to make payments in Europe?

Travelling as a millennial isn’t as awesome as it used to be back in the day. It’s not just because we have grown up, but also because so many new digital things must be learnt and understood before leaving for your destination of choice.?

Thankfully, with the advent of technology and the digitization of everything, making payments while travelling has become more accessible. There are so many apps that make it possible to book cabs, stay at hotels, and even pay for food without pulling out your credit card every time.?

Many millennials tend to shy away from cash, given how risky it can get with the wrong people around you.?

So, here is a complete guide on how Indian travellers can use UPI to make payments while travelling in Europe.

What is a Unified Payments Interface (UPI)?

?You might have heard about UPI but not know what it is. The Unified Payments Interface, or UPI, is a payment system that allows users to make payments and transfer money within seconds using a single identifier, such as a bank account or phone number.?

UPI is an Indian payment method that has now expanded globally. Several banks offer UPI support and allow you to link your bank account with your mobile number. The payment system is currently offered by the State Bank of India, ICICI Bank, and Axis Bank, among other banks.?

UPI allows users to send money to any individual using their mobile number or an internet banking login. The funds are transferred directly from one bank account to another. This is a lot safer than carrying cash overseas.

On top of that, there are no exchange rates for international transfers. All you need to do is link your bank account with a UPI-enabled app. It’s that simple.

?How to make payments using UPI?

?Every modern-day traveller uses apps to make payments. With apps like Uber, PayTM, and OLA, life on the road has become more accessible. However, if you are travelling abroad, you might not be able to use some of these apps because they might not have been launched in other countries. This is where UPI comes into play.?

UPI is a payment system that allows you to make quick and easy payments using your smartphone. The best part is that there is no need for a credit or debit card. All you need to do is open the UPI app, enter the amount you want to pay, and choose a bank account.?

Once you enter the amount, you’ll get a one-time password (OTP) on your phone. Enter the OTP, and the payment is made. UPI payments are made in real time, so the person you send money to will get the money instantly.

?Benefits of Using UPI for Travelling

?If you’re a frequent traveller, you know the importance of using a digital wallet. UPI is an excellent choice for frequent travellers because it is linked to your bank account. This means you don’t have to carry cash since all you need to do is transfer money between your bank account and your wallet.?

Another vital thing to note is that UPI is available in over 50 countries. This means that you can use it when travelling to any part of the world. UPI also works across all banks. You don’t have to change your account or hunt for a specific bank.?

You can continue using your bank account and the digital wallet. You can also use the same account and wallet when you return to your country.

?Drawbacks of Using UPI for Travelling

?There are no drawbacks to using UPI for travel. However, you should note that you can’t use UPI for international transactions. So if you want to transfer money from one country to another, you cannot use UPI.?

You can, however, use it in any other country. If you’re travelling to countries with banking systems similar to Indian banks, you can use UPI anywhere. However, if you are travelling to a country with a banking system different from the Indian one, you will have to use an ATM card.

?Why is UPI a Good Option for Travellers?

?As we have already discussed, the most apparent reason why UPI is a good option for travellers is that it works internationally. This means you don’t have to worry about carrying cash or exchanging currency every time you cross the border.?

You must use the UPI app and make payments or transfer money as and when you need to. Another reason why UPI is a good option is that it doesn’t require you to link your credit or debit card to your account. You can avoid fraud and online scams by not linking your card to your digital wallet.

?How to Use UPI & Understanding its Limitations

?UPI works best when the person on the receiving end also has a UPI-enabled account. You must use Internet banking if you’re paying money to a friend or family member who doesn’t have a UPI account. You can link your UPI account to your bank, credit card, and mutual fund accounts.?

For a person who travels a lot, using UPI makes perfect sense. However, using UPI also makes sense for people who don’t travel often. Since UPI can be used for online shopping, making online payments for utility bills, and making instant transfers between bank accounts, it is a handy app for anyone.

?Which Apps to Use?

As we have discussed, UPI is a great app to use when travelling. If you are looking for an app that allows you to make payments and send money abroad, UPI is the best app for the job. However, if you want to use an app that allows you to make payments and send money, you can use Paytm or MobiKwik. Both of these apps are digital wallets, which means that you can store money in them.?

Paytm is a top-rated payment app in India. With Paytm, you can book hotels, shop online, and travel abroad. It’s also one of the best apps to use for making payments when you are travelling abroad. You can also use it to transfer money from one account to another.?

The second app on our list is MobiKwik. It is another top-rated app in India. The app is available in countries outside India, such as Brazil, South Africa, and the Philippines. You can use the app to book hotels, shop online, and make payments while travelling.?

The last app on our list is Oxigen Wallet. It is another popular app in India. You can use the app to book hotels, shop online, and make payments while travelling. You can also use the app to transfer money from one account to another.

?Travelling with Indian Rupees in Europe

?As we have discussed, UPI is perfect for travellers. Under the partnership between NPCI International Payments Ltd (NIPL) and Worldline, Worldline's QR code-based mechanism will enable merchants' Point-of-Sale (PoS) systems in Europe to accept UPI payments from Indian travellers using their mobile phones. Through the partnership, UPI will be able to enter several markets, including Belgium, Switzerland, and the Netherlands.

However, travelling to Europe, you will have to use a different method. Since many European countries are not linked to the Indian banking system, you will have to exchange your Indian Rupees for Euros before you start your journey.?

You can do this at the airport or get a travel cash card. You will have to link your bank account to the travel cash card, and it will allow you to withdraw Euros from ATMs. This is an expeditious and easy way to exchange money before you start travelling.?

However, the cards charge a certain amount as a processing fee, so make sure you understand the terms and conditions before you book one.??

Conclusion

?While travelling, it is always better to use digital modes of payment, especially if you are travelling with friends or family who are not from your country. This way, you will not have to exchange currency and not have to deal with the hassles of changing currency.?

Digital modes of payment also save you the hassle of carrying a lot of cash, and you can use the saved space in your bag to carry something else. The best way to use these digital modes of payment is to use the UPI app that allows you to send and receive money.?