In response to the surging popularity of the Unified Payments Interface (UPI), the Reserve Bank of India (RBI) has introduced several consumer-friendly measures throughout the year 2023.
RBI unveils a game-changer, proposes a groundbreaking change by suggesting an increase in UPI auto payment limits. Eliminating OTP hassles for transactions, including credit card repayments, insurance premiums, and mutual fund subscriptions, under Rs 1 lakh will no longer require OTP-based authentication. Currently, OTP kicks in at Rs 15,000 for auto payments.
Governor Shaktikanta Das, during the Monetary Policy Committee (MPC) announcement, a significant move to boost UPI payments. The transaction limit for hospitals and educational institutions skyrockets from Rs 1 lakh to Rs 5 lakh, aiming to expand the use of UPI.
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Addressing connectivity challenges breaking barrier, RBI introduces UPI LITE X, enabling users to initiate and complete transactions even in offline areas like underground stations and remote locations. Leveraging Near Field Communication (NFC), UPI LITE X ensures swift payments without the need for connectivity.
In a move to bridge digital gaps, RBI increases the offline payment limit to Rs 500 for UPI-Lite wallets, promoting financial accessibility in areas with limited or no internet connectivity.
These strategic changes reflect RBI’s commitment to enhancing the UPI experience, making digital transactions more seamless and accessible for users nationwide.
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