publive-image

RBI Boosts UPI Lite Transaction Limits as Digital Payments Hit Record Rs 23.5 Trillion in October

Starting November 1, 2024, UPI Lite is getting a big upgrade to make small payments easier than ever. The National Payments Corporation of India (NPCI) has introduced an automatic top-up feature, which will refill your UPI Lite balance whenever it drops below a certain amount. 

This means you don’t have to worry about running out of balance for quick, everyday transactions like groceries, chai, or snacks. It’s all about convenience—your balance will top up automatically from your bank account so you can pay smoothly, without stopping to reload each time.

Here’s how it works: you set a minimum balance for your UPI Lite account. Whenever your balance falls below that limit, UPI Lite will add a preset amount from your bank account. And you get to decide how much goes in each time, which keeps things flexible but easy to manage. For now, auto top-ups are capped at five times a day, so you still have control over your spending.

Along with this auto top-up feature, UPI Lite is boosting transaction limits to make room for more everyday purchases. The single transaction limit has doubled from Rs 500 to Rs 1,000, while the maximum balance allowed in UPI Lite wallets has jumped from Rs 2,000 to Rs 5,000. 

The daily spending cap remains at Rs 4,000. With these new limits, you’ll have more room for those quick buys, whether it’s your daily coffee or a last-minute snack on the way home.

This change comes just as UPI hit its highest usage ever in October 2024. With 16.58 billion transactions and a total value of Rs 23.5 trillion, it’s clear that more people across India are relying on UPI for daily payments, especially with festive season shopping in full swing. On average, there were over 535 million transactions each day, showing a massive 45% increase in usage volume and a 37% increase in transaction value compared to last year.

All these updates highlight UPI’s growing importance in our everyday lives, making it easier, faster, and more reliable to pay for things we need—whether it’s a cup of chai, groceries, or anything in between. With UPI Lite’s upgrades, you’ll have even more flexibility to enjoy seamless payments for all those little things that add up in your day.