New Delhi: Online retailer Amazon India (Amazon Seller Services Pvt. Ltd) has introduced Unified Payments Interface (UPI) as a mode of payment for purchases through its app.

This means that a customer who makes purchases through the Amazon app will now get an option to pay using their UPI ID along with other online payment modes, including debit cards, credit cards and netbanking.

Once a customer chooses UPI as the payment option, he/she has to enter and verify their UPI ID. Once verified, the customer can go to the UPI ID-linked mobile app to complete the payment.

As of now, the payment method is available for all transactions valuing Rs10,000 or less on its mobile apps and mobile website, as per a note on the company’s website.

“We are testing UPI with our mobile customers and learning ways in which we can continuously improve their experience," said an Amazon India spokesperson on Tuesday.

The payment option is currently limited to its mobile offerings and not available on its desktop site, reported The Economic Times on Monday.

Flipkart offers this payment option on its desktop and mobile offerings through its payments arm PhonePe.

In case of refunds, the process is similar to paying through credit and debit cards, where the amount is credited to the bank account linked with the UPI ID.

The integration had been in process for several months now. Last year, former National Payments Corp. of India (NPCI) managing director and chief executive officer A.P. Hota said, “A good deal of amazing work is underway, Amazon will shortly come in, the testing and integration process is on."

The move comes at a time when Amazon India is preparing to make a big push into digital payments and compete aggressively with the likes of Paytm, Freecharge and e-commerce arch-rival Flipkart’s payment business PhonePe.

Last year in May, Amazon pumped in Rs67 crore into the payments arm, while in July, it poured in Rs130 crore into the business.

The investments into the digital payments arm are likely to increase over the next 6-12 months, Mint had reported, quoting executives at Amazon.

UPI is a payment system launched by NPCI which facilitates instant fund transfer between two bank accounts on the mobile platform without having any details of the beneficiary’s bank.

UPI was launched in August 2016 with 21 banks, and is currently being offered by about 71 banks.

Transactions using UPI rose to a record 152 million in January, according to data released by NPCI.