UPI Users Must Watch for These Changes Before April 1, 2025

From April 1, 2025, UPI services will not work on reassigned or inactive numbers. This UPI update has been issued by the National Payments Corporation of India (NPCI). As per the order, mobile phone numbers inactive for 90 days will be automatically delinked from their associated bank account. This will reduce the risk of fraud and unauthorised transactions.

Risks of Inactive Mobile Numbers to UPI Users

The revised update has been issued for all popular UPI apps, such as Google Pay, Paytm, and PhonePe. Inactive mobile phone numbers can pose major risks to different banks. It can also lead to unauthorised access to a user’s UPI account. To combat rising cybercrime cases, NPCI has advised telecom providers to reassign inactive mobile numbers to new users.

What Should UPI Users Do?

UPI users must update their active numbers with their bank account. Alternatively, they should get in touch with their telecom provider to assess the status of their mobile number. By activating all inactive numbers, they can safeguard themselves from losing access to UPI services.

In compliance with new regulations, the NPCI has advised UPI platforms and banks to weekly update the records of all inactive numbers. This will reduce the risk of fraudulent activities.

Enhanced Security Measures for UPI Users

The NPCI seeks to enhance the security of the UPI ecosystem. This will protect UPI users from potential fraud. The organisation has now mandated user consent for updating/linking mobile numbers with bank accounts. This will enhance user awareness and build trust among both players.

Implementation and Compliance

To ensure a smooth transition causing minimal disruption, the NPCI has advised UPI platforms and banks to perform all activities in compliance with existing tasks. Effective user education, coupled with the implementation of new regulations, is critical. This will reduce the overall impact of cyber fraud on UPI users nationwide.

Conclusion

The NPCI’s new regulations aim to prevent unauthorised banking transactions. This will enhance the security ecosystem for UPI users. Moreover, these norms will also be an effective tool in tackling cyber fraud. This will enhance financial inclusion in the country.

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