UPI apps look to make their numbers via PM CARES Fund; hackers pose threat

Soon after the announcement of the PM CARES Fund, a dedicated national fund to deal with any kind of emergency or distress situation in the wake of the coronavirus pandemic, UPI-enabled apps began announcing their target amount to contribute to the fund.

Leading UPI apps Paytm, PhonePe, Google Pay, Mobikwik and others have been trying to increase participation in donating to the fund, irrespective of the amount. 

While the government has also enabled other fast modes of payments such as debit card, credit card, NEFT/RTGS and Internet banking for the fund, the apps are looking to capitalize on the transaction numbers and value processed on their platform.

Paytm has set a target to contribute Rs 500 crore to the fund and Walmart-owned Flipkart has pledged to add Rs 100 crore. Both will also add an extra Rs 10 for every contribution from their users.

Every transaction, even micro-donation via these platforms, will help improve their total payment volume (TPV) or gross transaction value (GTV) for which the duo have been fighting a long battle.

Other UPI apps such as MobiKwik, Amazon Pay, Freecharge, and government-promoted BHIM, haven’t revealed their targets.

The number of transactions via these platforms will improve their numbers for March as they have been struggling to do business due to the complete lockdown.

The government has also announced that donations to this fund will be exempt from income tax under section 80(G).

Meanwhile, several hackers and crooks are looking at it as an opportunity to make some money. Delhi police’s cybercrime unit has detected a fake UPI ID pmcare@sbi, which is similar to original ID pmcares@sbi, created with a motive to cheat the donors. 

The State Bank of India has cautioned people of such fake UPI IDs which are being circulated on the pretext of PM-CARES Fund. India’s National Cyber Security Coordinator in Prime Minister’s Office, Lt General Rajesh Pant has also issued a cautioning statement in this regard.