New Delhi: NPCI has raised the UPI transaction limit to Rs 10 lakh for select payments, with effect from September 15, 2025. NPCI has announced a sharp increase in the UPI transaction limit for a specific category. The individuals could now make payments of up to Rs 10 lakh in a day for transactions such as tax payments, insurance premiums, loans, EMIs, stock market investments, and select financial services. The step is set to ease high-value digital payments.
UPI Limit Increased
Earlier, the UPI ecosystem had put limitations on transactions, capping them at Rs 1 lakh per day. This had posed challenges for taxpayers, investors, and professionals dealing with larger sums. As the deadline for ITR approaches, NPCI decided to increase the limit for tax-related UPI payments to Rs 5 lakh per transaction and Rs 10 lakh in 24 hours. This step is expected to benefit individuals and businesses who prefer the convenience and mechanism of UPI but were constrained by earlier limitations.
The revised limits are applicable only to P2M (person to merchants) transactions. The P2M payments are payments made to verified merchants such as insurance companies, brokerage firms, banks, or tax portals. The P2P (person-to-person) daily cap remains unchanged at Rs 1 lakh.
Key categories that will benefit from the revision include
- Tax Payments (MCC 9311): Up to Rs 5 lakh per transaction, Rs 10 lakh per day.
- Insurance & Capital Markets: Limit raised from Rs 2 lakh to Rs 5 lakh per transaction, Rs 10 lakh per day.
- Loan EMIs & B2B Collections: Rs 5 lakh per transaction, Rs 10 lakh per day.
- Credit Card Bill Payments: Increased from Rs 2 lakh to Rs 5 lakh per transaction, with a daily cap of Rs 6 lakh.
- Foreign Exchange (FX Retail): Rs 5 lakh per transaction.
- Digital Savings Accounts & Fixed Deposits: Up to Rs 5 lakh per transaction.
NPCI has directed banks, apps, and payment service providers to implement the changes. Based on the internal policies, the companies are set to roll out the changes in a phased manner. Notably, IPO bidding through UPI will continue to be capped at Rs 5 lakh per application.
This expansion of UPI’s transaction bandwidth is poised to enhance its role as a preferred digital payment mode, offering greater flexibility to businesses, professionals, and everyday users alike.