After waiting for long, Zerodha have finally launched UPI fund transfer for all its client. It is really easy to use. We will talk about the process in detail but first let me touch on what is UPI. UPI in simple terms is like your financial email which is created by your bank and in case you need to transfer funds to someone, you don’t need their account number
Just transfer the funds to the email ID provided by the bank and the money will reach real time in their account. This is really easy to use money transfer process and if you are not using it I would suggest you to make your own UPI ID and start transferring fund through it. There is no charges associated with UPI for peer to peer transfer. Some business do charge some small amounts though.
Fund transfer in Zerodha was possible by two ways before. If your bank was one of the 21 banks supported by Zerodha, you were able to transfer money from Zerodha app. But there was a transaction charge of Rs 9+GST every time you used this service. The other way was transferring funds through NEFT. But for that you have to manually add Zerodha as a beneficiary.
With the UPI, both the above mentioned issues are resolved. Firstly, they charge Rs 9 per transaction it is free of cost for now for upto 6 months and there is a good chance that the will remain free going forward also. Also you don’t need to know any Zerodha bank details or add them manually, you can directly transfer the funds without requiring to add any of these details.
The process is pretty simple and explained in the video below
I will also explain the process in few steps.
Just go to add funds and select UPI payment option. It will ask for your UPI ID. Remember that this UPI ID should be linked to the same bank account which is linked to Zerodha. If you try using any other bank account, the money would be debited but would not show up in your trading account.
Once you have put in correct UPI ID associated with your bank account, just input the amount you want to transfer and submit it. Once you do that, you will receive a message in your mobile phone and banking app to approve this payment. Just approve it and you should be able to see the funds transferred in real time to your trading account.
The method is error proof if you follow the steps mentioned above. One more thing to keep in mind is that you have to transfer fund from Zerodha app online. You cannot directly transfer to Zerodha UPI address. If you try doing this, the money would be deducted and would not reflect in your trading account.
We hope that this would have cleared all the doubts you had about using Zerodha UPI app. In case you face any other issue, do let us know and we will try to find the answer for it. You can find latest update about UPI from Zerodha here.