Major UPI Rule Changes Effective August 1: What You Need to Know

India’s digital payments ecosystem is about to experience a significant shift as the National Payments Corporation of India (NPCI) launches new rules for the Unified Payments Interface (UPI), taking effect from August 1, 2025. With UPI now handling over 14 billion transactions monthly, these updates are designed to reduce network congestion and increase user security. Here’s a detailed breakdown of all the key changes so you can stay updated and ensure compliance.

1. Balance Check Restrictions

Users can now check their bank account balance up to a maximum of 50 times per day per app. This means if you use more than one UPI app, each app will have its own separate limit.
Only user-initiated balance checks will be allowed. UPI apps are prohibited from auto-triggering these requests in the background.

2. Enhanced Security Features

Whenever you perform a transaction, UPI apps must display the recipient’s registered bank name before you complete the payment. This step helps prevent accidental transfers and ensures you’re sending money to the right person.
After each successful UPI payment, your bank must display the available balance in your account. This makes it easier to track your funds in real-time and monitor for any unusual activity.

3. Auto-Pay Timing Restrictions

Scheduled or recurring UPI payments, also known as Auto-Pay, will now be processed only during specific off-peak windows to avoid transaction slowdowns:
- Before 10AM
- Between 1PM and 5PM
- After 9:30PM
No auto-pay transactions will process during peak traffic hours, which NPCI defines as 10AM–1PM and 5PM–9:30PM.

4. Other Transaction Monitoring Limits

Bank Account List Views: You can view your linked account list 25 times per day.
Payment Status (Pending) Checks: Limited to three attempts per transaction, with a mandatory 90-second gap between attempts.
Reversal Requests: Each user can request up to 10 payment reversals per month, with a maximum of five reversals per sender.

5. Strict Enforcement and Compliance

The NPCI has warned all UPI ecosystem participants—including banks and payment apps—that non-compliance could result in severe penalties. These include restricting new customer onboarding or even suspending API access for certain services. The goal is to ensure network optimization, high service quality, and added fraud protection as the digital payments landscape grows ever larger.

Why These Changes?

With India’s digital payments volume growing at an exponential pace, it’s crucial to keep the system efficient and safe. These new rules aim to strike a balance between convenience and stability—making UPI both faster and more secure for every user.