From November 1, 2024, managing your UPI Lite balance will become more convenient with a new auto-recharge feature. This enhancement, implemented by the National Payments Corporation of India (NPCI), will automatically replenish your UPI Lite account when the balance falls below a specified threshold to ensure a smooth payment process.

Additionally, the Reserve Bank of India (RBI) has increased the transaction limit for UPI Lite, which is expected to be launched soon.

The auto-recharge feature allows users to set a predefined balance threshold. When the account balance falls below this threshold, it will be automatically replenished with a selected amount specified by the user. This feature facilitates fast and secure transactions without the need for a PIN for payments below Rs 500.

The UPI Lite account will automatically replenish itself when it falls below the selected minimum balance. Users can establish an auto-recharge mandate through their UPI app, allowing funds to be withdrawn from their bank account and added to their UPI Lite balance as per their requirements. Users have the option to revoke the mandate at any time, while maintaining control of their account.

Additionally, automatic top-ups are limited to five transactions per day to monitor usage. UPI Lite is designed for fast transactions, eliminating the PIN verification requirement for amounts below Rs 500. Users can easily make payments through their UPI app without involving the bank’s main systems.

To encourage greater usage, the Reserve Bank of India recently declared expanded UPI Lite limits:

The transaction limit per UPI Lite transaction will increase from Rs 500 to Rs 1,000.
The maximum balance allowed in a UPI Lite wallet will increase from Rs 2,000 to Rs 5,000. Despite these changes, the daily transaction limit will remain at Rs 4,000.

New UPI record in October 2024

In October, there were a record 16.58 billion transactions through the Unified Payments Interface (UPI), totaling Rs 23.5 trillion, the highest figure since the system’s inception in April 2016 This surpassed the previous peak of 15.04 billion transactions in September 2024 and 20.64 rupees. trillion in July. The growth in transactions was mainly driven by transactions between individuals and merchants, particularly during the festive period in October.

This milestone marked the first time that UPI exceeded 16 billion in volume and Rs 23,000 billion in value. Compared to September, there was an increase of 10% in volume and 14% in value. Data from the National Payments Corporation of India (NPCI) shows that in August, there were 14.96 billion UPI transactions amounting to Rs 20.61 trillion.

In October, the volume of daily UPI transactions crossed 535 million, with a total value of Rs 75,801 crore. This is a significant increase from the 501 million transactions and value of Rs 68,800 crore recorded in September. Year-over-year, trading volume increased by 45% and transaction value by 37% in October.