Smart UPI Based Vendor Wallet System

Abstract

The Unified Payments Interface (UPI) has become a common payment method which helps small vendors who make micro payments to switch from cash payments to digital transactions. The lack of organized financial management systems prevents them from tracking their payments and optimizing their cash reserves while using digital banking services. The authors present a Smart UPI-Based Vendor Wallet System which combines UPI functionality with an advanced wallet system to enable vendors to make safe fund transfers and instant cash withdrawals while tracking their spending patterns for better financial management. The system uses FIN Score to create an incentive system which enables vendors to earn interest-based rewards while their financial activities establish their ranking in the system. The architecture supports future service expansion by enabling new features like micro-credit solutions and user behaviour tracking and tailored financial advisory services. The system uses three elements which include usability and incentivization and scalability to help small vendors develop better financial practices and track their transactions and obtain digital financial services.