PhonePe UPI 123Pay Enables UPI Payments Without Internet on Feature Phones in India

PhonePe has launched a new UPI service aimed at bringing digital payments to feature phones. The service allows users to access key UPI functions on compatible handsets, expanding the payment platform beyond smartphones. It is being introduced through a range of feature phone models from multiple manufacturers, with additional devices expected to support the service in the coming months. The launch also adds new options for users who rely on feature phones for everyday communication and do not have regular access to smartphones.

PhonePe Brings Internet-Free UPI Payments to Feature Phones

PhonePe said in a press release that its UPI 123Pay service is now available on supported feature phones across India. The service works without an internet connection and uses SMS to process transactions, including money transfers and merchant payments. It is designed to work even in areas with limited 2G connectivity and brings UPI services to India's more than 200 million feature phone users.

The UPI 123Pay service supports person-to-person transfers, merchant payments, bank balance checks and transaction history. PhonePe plans to add bill payments, mobile recharges and Aadhaar-based UPI registration in future updates.

HMD has confirmed PhonePe UPI 123Pay support on the HMD 105 2G, HMD 110 2G, Nokia 105 Classic, Nokia 105 Single SIM, Nokia 105 Dual SIM, Nokia 106 and Nokia 123 Shield. More HMD and Nokia models are expected to receive support.

PhonePe is also offering an AI-powered voice helpline to help users set up the service. It supports English and 12 Indian languages, provides step-by-step activation guidance and answers basic UPI-related questions.

Users can set up the service through the pre-installed PhonePe app on a compatible feature phone. They need to accept the terms and conditions, select their bank, enter the last six digits of their debit card and its expiry date, and create a UPI PIN.

Once registered, users can make payments through a contact, mobile number or UPI ID. Feature phones with cameras can also scan QR codes. Users need to verify the recipient details, enter the amount and UPI PIN, and confirm the payment.

PhonePe UPI 123Pay is initially available on select feature phones from HMD, Nokia, Lava International and Itel Mobile, with PhonePe planning to bring the service to more models in the coming months.