India\u2019s UPI system has enabled high-value transactions, allowing users to pay up to \u20b910 lakh a day for investments, insurance, travel, credit cards, and jewellery, starting today. It is simultaneously scrapping the P2P \u201ccollect request\u201d feature from October to prevent fraud.<\/p>\n
The move, announced by the National Payments Corp. of India (NPCI), aims to make high-value Person-to-Merchant (P2M) payments faster and reduce reliance on slower channels like cheques.<\/p>\n
Also Read<\/strong> | UPI AutoPay set to fuel subscription-based startups in India<\/a><\/p>\n For capital markets and insurance, the per transaction limit has doubled to \u20b95 lakh from \u20b92 lakh, with a daily cap raised to \u20b910 lakh. These same limits now apply to government e-marketplace transactions, travel bookings, loan repayments, and EMIs<\/a>.<\/p>\n Credit card bill payments can now be made up to \u20b95 lakh per transaction, up from \u20b92 lakh, with a daily cap of \u20b96 lakh, increased from \u20b95 lakh. In jewellery purchases, the per transaction limit remains at \u20b92 lakh, but the daily ceiling rises to \u20b96 lakh.<\/p>\n Hospital and education payments, whose daily limits had already been raised to \u20b910 lakh from \u20b95 lakh in earlier circulars, remain unchanged. For per transaction, too, cap stays at \u20b95 lakh and investments in government securities, including via the RBI <\/a>Direct platform, have a \u20b910 lakh daily limit.<\/p>\n Also Read<\/strong> | RBI crackdown sends Paytm Payments Bank employees on a job hunt<\/a><\/p>\n \u201cWhile NPCI fixes the maximum permissible limit, banks can still impose lower caps depending on their risk assessment,\u201d said Ankit Bagadia, Associate Director, BankBazaar.<\/p>\n He added that while several people-centric segments have already been covered, real estate transactions and automobile purchases remain good-to-have categories for future inclusion.<\/p>\n The changes mark a significant push to make UPI a platform not just for everyday payments, but for high-value transactions like investments, insurance<\/a>, and large bill payments. At the same time, ending the P2P collect feature reflects NPCI\u2019s efforts to curb fraud, signalling a tightening of controls as the platform handles larger sums.<\/p>\n Higher limits, lower fraud risk<\/p>\n Industry experts say the move will ease business payments without raising fraud risk, as the higher limits apply only to verified merchants. Person-to-Person (P2P) limits remain unchanged at \u20b91 lakh per day.<\/p>\n \u201cIt\u2019s reassuring that limits have been raised only for select merchants. This will speed up high-value transactions and reduce reliance on cheques, without raising fraud risks. The standard \u20b91 lakh limit for P2P ensures everyday transactions remain safe,\u201d said Samit Singh, ex-banker and founder of Happy Retirement.<\/p>\n P2P \u2018collect request\u2019 to end<\/p>\n NPCI has directed that from 1 October, the P2P \u201ccollect request\u201d feature on UPI will be discontinued. \u201cThis means individuals will no longer be able to send or receive collect requests; payments can be made only via QR code scans or by entering UPI IDs,\u201d said Bagadia.<\/p>\n