The number of people making online payments through UPI is growing rapidly, doubling during the day and quadrupling at night. Thanks to UPI, India is at the forefront of digital payments globally. According to NPCI data released in November, there were approximately 15.48 million UPI transactions, amounting to an impressive Rs 21.55 lakh crore. The National Payments Corporation of India (NPCI), which operates under the Reserve Bank of India, has introduced five new enhancements to UPI, benefiting millions of users.
Increased Limit for Feature Phone Users
NPCI has raised the transaction limit for the UPI123PAY service, specifically catering to feature phone users. Previously capped at Rs 5,000, the new daily limit is now Rs 10,000, allowing these users to conduct more transactions via UPI through missed calls or IVR.
Enhancements to UPI Lite
In addition to the UPI123PAY updates, the limit for UPI Lite has also been increased this year. Users can now hold up to Rs 5,000 in their UPI Lite wallets, up from the previous Rs 2,000. This feature enables users to make small payments without needing to enter a PIN, streamlining the transaction process.
Auto Top-Up Feature
The NPCI has also introduced an auto top-up feature. Users' wallets will now be automatically replenished without requiring any additional authentication when their balance runs low. This convenience is contingent upon having sufficient funds in the linked bank account.
Higher UPI Transaction Limits
Furthermore, the daily UPI transaction limit has been significantly increased from Rs 1 lakh to Rs 5 lakh for certain payments. Users can now make transactions of up to Rs 5 lakh per day for hospital fees, tuition payments, and IPOs, while payments related to insurance and stock markets are capped at Rs 2 lakh.
Introduction of UPI Circle
Additionally, NPCI has rolled out a new feature called UPI Circle, which facilitates delegated payments. Within this framework, the primary UPI user can add family members and friends to their circle, allowing them to set transaction limits for secondary members. These secondary users can also utilize the primary member’s bank account for UPI transactions, although approval from the primary user is required for each transaction.
Overall, these developments aim to enhance user experience and make digital transactions more accessible for everyone.
ALSO READ: Elon Musk finds Hashtag ugly, urges people to stop using them: Here's why
