Introduction:
In India, the Unified Payments Interface (UPI) is now widely used for digital transactions, which has improved speed and convenience. A number of new UPI transaction rules, 2024 guidelines, and UPI updates have been made to improve the UPI experience. Below is a brief overview of the most important updates:
Inactive UPIs Deactivation:
(NPCI): The National Payments Corporation of India is cracking down on inactive accounts. UPI IDs and linked mobile numbers that have been inactive for over a year will be deactivated, reducing the risk of misuse.
UPI Transaction Limits Increased:
NPCI has set a new daily payment limit of Rs 1 lakh for general UPI transactions. However, the RBI has increased the limit to Rs 5 lakh for education and healthcare facilities, offering more options in specific sectors.
Interchange Fee on UPI for Specific Merchant Transactions:
Starting in early 2023, a 1.1 percent interchange fee will apply to specific merchant UPI transactions exceeding Rs 2,000 conducted through prepaid payment instruments (PPI). Customers won’t face additional costs during transactions.
4 Hour Time Limit for New Transactions:
- To combat online payment fraud, a four-hour time limit is expected for the first payment exceeding more than Rs 2,000 between users who haven’t transacted before. Additionally, a ‘Tap and Pay’ QR feature is expected to be introduced soon.
- The 4-hour window lets people undo or change a payment if they made a mistake, sent money to the wrong person, or fell for a scam. This adds a safety feature to control your money. But it also means you have to wait for the payment to be confirmed before getting what you bought. How you feel about this depends on your own opinion.
Nationwide UPI ATMs:
The RBI is set to introduce UPI ATMs all over the country. These ATMs will allow users to scan a QR code to withdraw cash directly from their bank accounts, adding a new dimension to UPI transactions. Which I think is a great step.
Conclusion:
With these updates, UPI continues to evolve, ensuring a secure and efficient digital payment ecosystem in India. Stay informed to make the most of these enhancements and enjoy seamless transactions.
The creative mind behind your go-to blog for an engaging blend of entertainment, business, finance and Automobile. backed by four years of industry work experience. With a passion for storytelling and a knack for simplifying complex topics, Saif brings you insightful perspectives on the entertainment industry, dissecting the latest movies, while also providing practical insights into the business and finance realms.
