New UPI Transaction Limits From November 1: Two Changes for Google Pay, PhonePe and Paytm Users

UPI Lite users are in for some good news as the platform will undergo two significant updates starting November 1, 2024. Firstly, users will be able to make more payments, thanks to the Reserve Bank of India's (RBI) recent decision to increase the transaction limit for UPI Lite.

Secondly, a new auto top-up feature will kick in on November 1. If a UPI Lite balance falls below a certain threshold, the auto top-up will add funds automatically, eliminating the need for manual recharges. This feature will ensure uninterrupted payments on UPI Lite.

Also Read | Debit card-based transactions drop 8 pc in Sep as UPI payments surge: RBI data.

The auto top-up feature is part of the National Payments Corporation of India’s (NPCI) ongoing effort to streamline UPI Lite. UPI Lite, designed for small transactions without a UPI PIN, currently requires manual recharges from users’ bank accounts. With auto top-up, NPCI aims to make the process smoother, allowing continuous payments without manual intervention. NPCI announced the Auto-Pay Balance feature for UPI Lite in a notification on August 2, 2024.

Currently, UPI Lite allows transactions up to Rs.500 per transaction, with a maximum wallet balance of Rs.2,000 and a daily spending limit of Rs.4,000. Under the new rules, RBI has proposed increasing the maximum transaction limit from Rs.500 to Rs.1,000 and raising the wallet balance limit from Rs.2,000 to Rs.5,000.