HIGHLIGHTS

New banking regulations require banks and Payment Service Providers (PSPs) to regularly refresh their databases using the Mobile Number Revocation List/Digital Intelligence Platform (MNRL/DIP).

Beginning April 1, if your mobile number registered with the bank has been inactive for a significant period, your UPI ID associated with that number will be deactivated automatically.

This will prevent you from making UPI transactions or receiving funds through that UPI ID.

The National Payments Corporation of India (NPCI) has rolled out updated guidelines regarding the Unified Payments Interface (UPI), effective April 1, 2025. This transformation will chiefly influence financial institutions, Payment Service Providers, and popular UPI applications such as PhonePe, Google Pay, and Paytm. A significant aspect of these guidelines focuses on managing mobile numbers linked with UPI IDs.

According to the revised regulations, banks and PSPs will be mandated to systematically update their records utilizing the Mobile Number Revocation List and Digital Intelligence Platform (MNRL/DIP). This update is essential to be conducted at least once a week to mitigate potential transaction mishaps arising from outdated or reallocated mobile numbers.

Read more: Discover how UPI makes payments easier but has its drawbacks

If a mobile number remains dormant for three continuous months—meaning no outgoing calls, text messages, or internet usage—it will be deactivated by the respective telecom service provider. After a waiting period of 90 days, that number may be redelivered to a new user. Such numbers are referred to as recycled or churned numbers.

From April 1, 2025, any bank-registered mobile number that is deemed inactive over an extended period will cause the UPI ID tied to it to be deactivated automatically. This implies that you will be unable to execute UPI payments or receive transactions through that specific UPI ID.

Essential actions for UPI users

To prevent any interruptions in your UPI transactions, it is crucial to ensure that your bank-registered mobile numbers remain active. Should you switch your mobile number, make it a priority to promptly update it with your banking institution.

Read more: Learn about the recent UPI downtime affecting Paytm, PhonePe, and other applications

In addition, NPCI is revising the “Collect Payment” functionality within UPI to enhance security measures against fraud. As reported by the Economic Times, this feature will now be limited exclusively to large, verified merchants. Furthermore, the maximum amount allowed for person-to-person transaction requests will be capped at Rs 2,000.

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