UPI New Rules To Kick In From September 15! What Are They? How Will They Impact You? Know Here

In a bid to ease large-ticket transactions, National Payments Corporation of India (NPCI) has raised Unified Payments Interface (UPI) transaction limits. The UPI transaction limit has been raised for selected categories of online payment, including capital market investment, insurance payments, credit card bill payment, etc.

The revised UPI limits will come into effect from September 15. As per the new UPI transaction limits, users can make online payments up to Rs 10 lakh in one day for specified verified merchant categories.

What Are The New UPI Changes Set To Kick In From September 15?

The new changes will ease the transaction of higher amounts for customers. However, the person-to-person (P2P) limits will stay at Rs 1 lakh daily.

Credit Card Bill Payment

The limit for UPI payment for credit card bills has been increased to a single transaction limit of Rs 5 lakh. The daily cap is fixed at Rs 6 lakh. Whereas in the travel industry, users can make transactions of up to Rs 5 lakh per instance. Loan and EMI collections have also seen an increase to Rs 5 lakh per transaction and a daily cap of Rs 10 lakh.

Capital Market Investment, Insurance Payment

The transaction limit has been upgraded from Rs 2 lakh to Rs 5 lakh for capital market investments and insurance payments. People can make a maximum payment of Rs 10 lakh within 24 hours.

Govt E-Market Place Transactions

Government e-marketplace transactions, including earnest money deposits and tax payments, can now reach up to Rs 5 lakh per transaction, compared to the previous cap of Rs 1 lakh.

Banking Services

Banking services have also been affected by these changes. Term deposits through digital onboarding can now be made up to Rs 5 lakh per transaction and per day, an increase from the previous limit of Rs 2 lakh. However, digital account opening remains capped at Rs 2 lakh. Additionally, foreign exchange retail payments via BBPS are now enhanced to allow transactions up to Rs 5 lakh each day.

Foreign exchange retail payments via BBPS have been enhanced to allow transactions up to Rs 5 lakh each with a daily cap of the same amount. Digital account opening remains unchanged at a limit of Rs 2 lakh. Member banks still have the discretion to set lower limits based on their risk policies.

The new framework aims to help users avoid splitting large payments into multiple transactions. It facilitates seamless payment of insurance premiums, loan EMIs, or investments through UPI without disruptions. These changes are designed to provide real-time settlements with fewer interruptions.

The increased UPI limits reflect NPCI's commitment to enhancing user experience by enabling larger transactions seamlessly. This move is anticipated to benefit both consumers and businesses by streamlining payment processes across various sectors.