Now, the country's leading digital payments service provider PhonePe has launched a new secure way of transaction in India.

With the new feature, users can directly authenticate UPI payments through their smartphone's built-in security options, such as fingerprint or face unlock, as an alternative to manually entering the UPI PIN [Personal Identification Number]. This is a secure two-factor authentication layer for UPI transactions.

This feature is optional, and the user has to turn it on to enable fingerprint or face unlock security for UPI transactions.

As per the NCPI regulatory guidelines, the device-level biometric verification can be used for making purchases valued up to Rs 5,000. Beyond this limit, users have to use a PIN to authenticate the UPI transaction.

A collage showing GPay and PhonePe QR codes.

This is a good security measure, as there is a scope of misuse in case of the user being paralysed or on their deathbed, and people may engage in unauthorised transactions. Historically, particularly in India, there are cases of personal properties of a deceased have been transferred illegally using an inked thumb impression.

Besides PhonePe, Amazon offers such a biometric UPI authentication feature in India. Google Pay also has this, but limited to Android phones. The iOS version for iPhones is yet to be released.

Here's how to Enable Biometric Payments: Users can set up the feature in a few simple steps:

Step 1: Open the PhonePe app.

Step 2: Go to Profile.

Step 3: Tap on Manage Payments.

Step 4: Tap on the Biometric Pay Icon.

Step 5: Enable Biometric Authentication for UPI Payments for respective Bank accounts.

Step 6: Confirm using your UPI PIN and Biometric for a one-time setup.