Summary: UPI will get freedom on big transactions
Now in many sectors like insurance, loan, investment and travel, digital payment of up to Rs 5 lakh will be possible at a time, while the limit of P2P transfer will be the same.
National Payments Corporation of India (NPCI) to make digital payments in India easier and safe UPI Transaction Major changes have been made in the limit. These new rules will be applicable from 15 September 2025. This will directly benefit the common people and traders, who want to make big payments in a digital manner.
So far, in many categories, there was a limit of only 1 lakh to 2 lakh rupees, due to which insurance, loan, or Investment Like there was difficulty in doing big transactions. But after the new rules, the transaction limit in many sectors has been increased to Rs 5 lakh. It is worth noting that the limit of sending money to family or friends will remain as per the person-to-face (P2P)-that is still Rs 1 lakh per day.
What is changing in UPI limit?
- Capital Market Investment and Insurance Payment: Earlier its limit was 2 lakh rupees, but now the new limit has become 5 lakh per transaction. You can do a maximum transaction of Rs 10 lakh in 24 hours.
- Government e-marketplace and tax payment: Earlier the limit was Rs 1 lakh, which has now become the limit of 5 lakhs per transaction.
- Travel booking: Its first limit was 1 lakh rupees. Now the new limit has been transacted by 5 lakhs per transaction. It also has a maximum of Rs 10 lakh in 24 hours.
- Credit card bill payment: Its new limit has been reduced to 5 lakh rupees at a time. But the daily limit is still 6 lakh rupees.
- Loan and EMI Collection: Earlier this limit was 2 lakh rupees. Now the new limit has been made Rs 5 lakh per transaction. The maximum of 10 lakh rupees in 24 hours.
- Jewelery purchase: Earlier this limit was Rs 1 lakh and now the new limit has been made Rs 2 lakh per transaction. It is a maximum of 6 lakh rupees in 24 hours.
- Term Deposit (Digital Onboarding): First the new limit of Rs 2 lakh has now been increased to Rs 5 lakh.
- Digital account opening: There has been no change in it. This limit will remain only 2 lakh rupees.
- Foreign Exchange Payment (via BBPS): Its new limit has been made by Rs 5 lakh per transaction. However, the daily limit is 5 lakh rupees.
What will be affected on general public and traders
- Insurance and investors will now be able to pay large premiums or investment without any hindrance.
- Government tax payment and e-marketplace will be more easy to purchase.
- Big ticket booking or holiday package payment in the travel sector will also be dealt with UPI.
- Credit cards and EMI payments will be faster and safe.
- There will also be relief in jewelery and foreign currency payment.
This step of NPCI will take digital payment to a new height in India. Now common users will not have to depend on netbanking, debit card or check for large transactions. The increase in UPI limit will benefit business, investors and common consumers.
