From August 1, 2025, multiple new rules related to UPI payments have come into force in India. These changes apply to users of Google Pay, PhonePe, Paytm, BHIM, and other UPI-based platforms. As India witnesses over 18 billion UPI transactions each month, the system is under growing pressure. The National Payments Corporation of India (NPCI) has introduced new guidelines to enhance performance, security, and user experience.
If you rely heavily on UPI, it’s essential to understand what’s new from today. These rules aim to reduce technical errors, prevent fraud, and balance server load. Here’s a detailed breakdown of the latest UPI rule changes.
Daily Balance Checks Are Now Limited to 50
Earlier, users could check their bank balance via UPI apps as many times as they liked. From today, this will be capped at 50 times per day per app. This limit applies to apps like Google Pay, PhonePe, and Paytm.
The reason for this restriction is high server load. Many apps were checking balance automatically in the background. This often slowed down servers and caused system crashes. The new limit is intended to reduce resource consumption and improve reliability.
Linked Account Listing Limited to 25 API Calls Per Day
Users can now only check their linked bank accounts 25 times per day via UPI apps. The Linked Account API was frequently used, often without user knowledge. From now, apps must obtain user permission before accessing this data.
This move protects data privacy and avoids unwanted tracking of account details. It also keeps the bank servers lighter and reduces accidental refresh loops.
UPI Autopay Transactions Will Be Processed During Non-Peak Hours
If you’re using UPI Autopay for subscriptions, EMIs, bills, or SIPs, there’s a time restriction now. These payments will only process during non-peak hours.
Peak times are now officially defined as:
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10:00 AM to 1:00 PM
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5:00 PM to 9:30 PM
Autopay mandates that fail can only be retried three times. After four failed attempts, the mandate is canceled. This aims to balance the load during rush hours and reduce payment failures.
Transaction Status Must Be Shown Within 90 Seconds
Earlier, users had to wait minutes—or hours—for status on failed or pending UPI payments. Starting today, the status update must appear within 90 seconds.
Users can check the status of a transaction up to three times. Each check must be at least 90 seconds apart to avoid spamming the server.
Inactive Mobile Numbers Will Have Their UPI ID Deactivated
If a UPI ID linked to a mobile number remains unused for 12 months, it will be automatically deactivated. This prevents accidental payments to recycled numbers.
If a mobile number is reassigned to a new user, inactive UPI IDs may lead to payment fraud. This move minimizes such risks and keeps the network secure.
Enhanced Security When Adding New Bank Accounts
From now on, linking a new bank account to any UPI app will require extra verification. Users will go through multi-factor authentication, OTP confirmation, and sometimes bank-level security checks.
This rule is especially relevant for first-time users and those linking new accounts. The added verification ensures fraud protection and account safety.
Faster UPI API Response Times
UPI’s technical backend has been improved for faster processing. Now, responses for transaction initiation or address validation must come within 10 seconds. Earlier, response times could stretch up to 30 seconds, causing delays or app freezes.
This upgrade ensures smoother user experience and reduces frustration during peak usage.
No Charges for Users, But Payment Aggregators Must Pay
Common users and sellers will not be charged for UPI payments. However, payment aggregators like Google Pay, PhonePe, and Paytm must now pay a transaction fee to banks.
The NPCI clarified that this cost-sharing model ensures the long-term sustainability of the UPI infrastructure. The fee will not be passed to customers in any form.
ICICI Bank Confirms Charges to Aggregators
ICICI Bank has started informing payment aggregators via official letters. It has confirmed that aggregators will be charged up to ₹10 per UPI transaction. Axis Bank and Yes Bank have already started implementing this model.
This policy shift is designed to cover the growing operational costs of maintaining UPI infrastructure. Banks previously bore these costs fully.
Why These UPI Rule Changes Were Necessary
India is witnessing over 18 billion UPI transactions per month in 2025. This rapid scale-up created stress on bank servers and app performance. Multiple UPI APIs were overused, leading to server congestion and delayed payments.
The balance inquiry API, in particular, was hitting servers excessively due to background refreshes. Similarly, recurring payments during peak times were overloading the system.
Also, many reports surfaced where users sent money to wrong UPI IDs or to people using recycled mobile numbers. Now, UPI apps must display the recipient’s name before transfer, reducing mistaken payments.
These reforms also balance the cost burden of free UPI services. Until now, UPI was entirely free for users. With massive growth, banks and the government needed shared responsibility from payment platforms.
How Users Should Adapt to the New UPI Rules
Starting now, users need to change the way they use UPI apps. Avoid unnecessary balance checks. Use this feature only when absolutely required. Ensure Autopay mandates are set during non-peak hours to avoid failure.
If a transaction shows as pending, wait at least 90 seconds before checking again. Don’t flood the server with repeated status checks.
New users linking bank accounts should complete all verification steps carefully. Keeping your UPI ID active requires usage. So, don’t leave mobile numbers dormant for a year if UPI is active on them.
Finally, always confirm the beneficiary name before sending money. This protects against transfer errors.
The UPI rule changes effective from August 1, 2025 are designed to improve user experience. With better system response, reduced failures, and enhanced security, the goal is to make UPI faster and safer.
Regular users must stay informed and adjust to these changes quickly. Avoid habits like excessive balance checks or retrying pending transactions too often. These updates are not just technical—they impact every Indian who uses digital payments daily.
