UPI Transaction Limit Increased: Now Pay Up to ₹10 Lakh in a Day
The National Payments Corporation of India (NPCI) has made a major change in UPI rules. From September 15, 2025, the daily UPI transaction limit has been increased to ₹10 lakh for selected categories. This update comes as UPI continues to dominate online payments across India.
Current UPI Limit vs New Limit
Usually, the UPI limit is ₹1 lakh per day for most transactions. But with the new update, NPCI has allowed higher limits for payments like taxes, insurance, EMIs, investments, and more.
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New Rule: For certain transactions, you can now transfer up to ₹5 lakh in a single transaction and ₹10 lakh in 24 hours.
Why Did NPCI Increase the UPI Limit?
The last date for paying income tax is September 15, 2025. Many taxpayers and businesses found the old UPI limit too low for large payments. To make the process easier, NPCI raised the limit on tax-related transactions. This change will also help professionals, businesses, and regular users who want to make big payments via UPI.
Transactions Covered Under the New Limit
The revised limit applies only to P2M (Person to Merchant) transactions. This means you can use the higher limit when paying verified merchants like insurance companies, stock brokers, tax portals, and banks.
However, for P2P (Person to Person) transfers, the limit will remain ₹1 lakh per day.
Here’s a breakdown of the new UPI limits:
1. Tax Payment (MCC 9311)
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₹5 lakh per transaction
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₹10 lakh per 24 hours
2. Insurance and Capital Market
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Earlier: ₹2 lakh
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Now: ₹5 lakh per transaction and ₹10 lakh daily
3. Loan EMI and B2B Collections
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₹5 lakh per transaction
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₹10 lakh per day
4. Credit Card Bill Payment
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Earlier: ₹2 lakh
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Now: ₹5 lakh per transaction
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Daily limit: ₹6 lakh
5. Foreign Exchange (FX Retail)
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₹5 lakh per transaction
6. Digital Accounts and Fixed Deposits (FDs)
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Up to ₹5 lakh per transaction
Will All Banks Implement the New Limit?
NPCI has instructed all banks, apps, and payment service providers to apply these changes. However, individual banks can set their own internal limits. This means that while most banks will start implementing the new rules from September 15, 2025, some may take more time.
What About IPO Payments?
For IPO applications made through UPI, the transaction limit will remain ₹5 lakh per application. The increased ₹10 lakh daily limit will not apply in this case.
Who Will Benefit the Most?
This change will directly benefit:
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Business owners and professionals making high-value tax or insurance payments
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Investors making stock market transactions
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Customers paying large EMIs, credit card bills, or deposits through UPI
By removing the old restrictions, NPCI has made UPI more convenient for both businesses and individuals.
