UPI Rule Changes: Big Shift for PhonePe, Google Pay, Paytm Users from August 1 – Here’s What You Must Know

Starting August 1, 2025, Unified Payments Interface (UPI) users across India will experience a wave of changes that could impact how they manage digital payments daily. Whether you’re someone who quickly checks your bank balance every few hours or depend on auto-pay services for subscriptions, these new rules announced by the National Payments Corporation of India (NPCI) are likely to affect your habits.

With UPI now handling over 16 billion transactions monthly, the NPCI is stepping in to make the system more resilient, secure, and efficient—especially during peak load times. The new regulations target high-frequency actions that typically overload the system and lead to slower transactions or failed payments.

1. Daily Limit on Balance Checks

Users who frequently check their UPI account balance will now need to cut back. Going forward, UPI apps will allow only 50 balance checks per day per user.

This move is aimed at reducing unnecessary server traffic, as repeated balance inquiries have been one of the key reasons behind slowdowns and disruptions in real-time payments.

2. Restrictions on Viewing Linked Bank Accounts

Another related update limits how often users can check the list of bank accounts linked to their mobile number through UPI.

Under the new policy, this can now be done only 25 times per day, helping reduce strain on the system and lower the risk of unauthorized access or misuse.

3. Scheduled Time Slots for Autopay Transactions

Auto-debit payments such as Netflix subscriptions, SIP (Systematic Investment Plan) contributions, or other recurring mandates will now be processed in three specific time slots to balance the server load.

These slots are:

Before 10:00 AM

Between 1:00 PM and 5:00 PM

After 9:30 PM

Transactions attempted outside these windows will be queued for processing in the next available slot. This change is designed to prevent server congestion during high-traffic hours.

4. Limits on Failed Transaction Status Checks

If you’re used to repeatedly refreshing the status of a failed UPI payment, there’s a new restriction in place.

You’ll now be able to check the status of a failed transaction only three times per day, and there must be a minimum gap of 90 seconds between each check.

This is meant to prevent repeated server calls that slow down the entire network.

5. Recipient’s Bank Name Must Be Shown Before Payment

Already implemented from June 30, this rule requires that the receiver’s bank name be clearly displayed before a transaction is confirmed.

This small but significant addition adds a layer of transparency and helps prevent errors and fraud, especially in cases where multiple accounts may be linked to the same contact name.

6. Chargeback (Payment Reversal) Limits Introduced

To prevent the misuse of chargeback or reversal requests, NPCI has set a limit of 10 chargebacks per month for any user.

Additionally, you’ll only be allowed to request a reversal from the same individual or business 5 times in a month.

This policy aims to bring more discipline to the refund process and reduce false or excessive claims.

7. New Guidelines for Banks and UPI Apps

Banks and UPI platforms have been directed to closely monitor API usage and ensure better backend performance.

They are expected to identify any unusual activity and ensure systems remain stable, especially under pressure.

On the user side, this means:

Refraining from frequent balance or status checks

Planning autopay mandates during off-peak hours

Verifying the recipient’s bank name before confirming any payment

How to Use a Credit Card for UPI Payments

In addition to these rule changes, if you’re new to using a credit card for UPI payments, here’s a quick guide to help you through:

Step 1: Open your UPI app and scan the QR code of the recipient or merchant.

Step 2: Choose the “Pay Phone Number” or “Pay Contact” option.

Step 3: Enter the UPI ID manually if required, or proceed with available options.

Step 4: You can also select “Self Transfer” if sending funds between your own accounts.

Step 5: After verifying details, enter the amount to be paid.

Step 6: Choose your credit card as the payment source.

Step 7: Enter your UPI PIN to confirm and complete the payment.