UPI New Regulations Rs 1 Lakh Daily Limit Deactivation Rule Wallet UPI 1 Percent Fees and More All Details

Some rules of UPI have changed from today, which were already announced by the National Payment Corporation of India (NPCI). UPI, used for fast money transfer through mobile devices, has become the fastest growing payment mode in the country. Its popularity can be gauged from the fact that some countries have adopted this system. interested in adopting Since the launch of UPI, the number of digital transactions in India has increased tremendously. To improve the user experience and make this system more secure than before, today, i.e. from January 1, 2024, the Reserve Bank of India (RBI) has announced some changes in it.

NPCI has asked payment apps like Google Pay, Paytm, PhonePe etc. and banks to deactivate UPI IDs and numbers that have not been active for more than a year. Also, according to NPCI, the daily payment limit for UPI transactions will now be a maximum of Rs 1 lakh. However, RBI had increased the transaction limit of UPI payments for hospitals and educational institutions to Rs 5 lakh on December 8, 2023 to broaden the use of UPI payments.

Not only this, a 1.1 per cent interchange fee will also be levied on certain business UPI transactions above Rs 2,000 made using prepaid payment instruments (PPIs) such as online wallets.

In order to curb the rising cases of online payment fraud, a four-hour time limit will be applicable every time a user makes a first payment of above ₹2,000 to another user with whom he has not transacted earlier.

Besides, RBI in collaboration with the Japanese company Hitachi is now doing its research across India will start UPI ATMin which you can scan a QR code to withdraw cash from your bank account.

In August 2023, UPI achieved a remarkable milestone by crossing 10 billion transactions. According to NDTV Accordinga top official of the National Payments Corporation of India said the country has the capacity to process 100 billion Unified Payments Interface transactions in a month.