New UPI Rules April 2025: Implemented in India
From April 1, 2025, many important changes will come into effect in Unified Payments Interface (UPI) strategies, which are being implemented by the National Payments Corporation of India (NPCI). This is based on the enhancements to security and transparency of its digital transactions. Among the changes, inactive or deactivated mobile numbers will be taken out of bank accounts. This is likely to diminish occurrences of cybercrime and fraud.
These updates aim to make UPI transactions safe and efficient. If your mobile number hasn’t been used for a long time, or your active number is different from your bank account, then you should update your bank account with an active number. Failing to do so may cause issues while using UPI services. Here is a closer look at the major changes to UPI transactions now on:
New UPI Guidelines from April 1, 2025
Here are the key changes in UPI rules, to take effect from April 1, 2025:
- Inactive Mobile Numbers: Bank accounts linked to mobile numbers not used for a long time will be deactivated.
- Security Improvements: These changes aim to stop cybercrimes and fraud.
- Weekly Updates: Every week, banks and UPI apps will refresh their database.
- Enhancement: Users will need to consent to mobile number updates.
- UPI 123Pay Limit: The limit for UPI 123Pay transactions has been raised from ₹5,000 to ₹10,000.
- International UPI Transactions: The Scope for international UPI transactions will be increased.
- Convenience Fee: A convenience fee may be assessed on select bill payments.
The Importance of Updating Your Mobile Number
Updating your mobile number is more important than ever. Having an inactive number linked to your account could also mean your UPI transactions can fail or payments can go to the wrong person, since your mobile number is the primary identifier for a UPI transaction. So, make sure your mobile number is updated in your bank account so that you can keep using UPI services without any hassle.
Strengthening UPI Security – New UPI Rules April 2025
A key reason why these new rules were brought into place is to improve UPI security. Banks and UPI apps will update their records weekly to remove inactive or reassigned mobile numbers. It will reduce the risk of unauthorised access and fraud. In addition, requiring user’s consent prevents any change of the mobile number without the users’ responsiveness.
UPI Pay Limit Increased – New UPI Rules April 2025
The transaction limit for UPI 123Pay has been raised to ₹10,000 from ₹5,000. This is particularly useful for users who want to do digital payments without an internet connection. This raise will significantly help users to place safe transactions indoors or outdoors, irrespective of a possible internet outage, especially for little feature phone users.
Expanding International UPI Transactions
The internationalisation of UPI transactions is another major update. This will enable UPI users to pay while traveling outside India, connecting India’s digital economy with global markets. Enhancing India’s position and intelligence in the global payment systems.
Convenience Fee for Certain Bill Payments
A convenience fee could be charged for certain types of bill payment. Users will be notified in advance of any fees that may apply. This is innumal to the payment process taking transparency strongly and challenging users to take those decisions while making payments.
What Users Need to Do – New UPI Rules April 2025
If your mobile number is inactive or has been deactivated, follow these steps:
- Verify Your Mobile Number: Make sure that the mobile number associated with your bank account is active.
- HOW TO FIX IT: Update your number: The number you already provided may have gone stale. Update it or add a new one to your account.
- Contact Your Bank: If your previous number is no longer in use, Julie says to notify your bank to update your details.
- Update in UPI Apps: Remember to update your mobile number and bank details on apps like Google Pay, PhonePe, or Paytm.
Also Read: Updated BHIM 3.0: A Big Change in Indian Digital Payment
