NPCI cuts UPI response time to 10 seconds

New Delhi: Transactions via the Unified Payments Interface (UPI) have become faster starting Monday, following new directives from the National Payments Corporation of India (NPCI). Under the updated guidelines, UPI services such as fund transfers, status checks, and reversals are now being processed within 10 to 15 seconds — a significant reduction from the earlier response time of up to 30 seconds.

In a recent circular, NPCI informed that address validation during a UPI payment has also been streamlined and now completes in 10 seconds, down from 15.

“These upgrades are aimed at enhancing the overall user experience and ensuring more efficient processing during high traffic,” an NPCI official said.

In addition to improved response times, NPCI has introduced a daily cap of 50 account balance inquiries through UPI apps. Until now, users had no restriction on checking their balance. A digital payments expert noted, “Setting a limit helps manage system load and ensures smoother functioning for all users.”

NPCI has also mandated changes to how beneficiary details are handled. UPI apps must now display only the actual recipient’s name during a transaction. Moreover, users will no longer be able to edit the ‘beneficiary name’ in the app interface. “This helps avoid errors and ensures money reaches the right person,” said a senior executive from a leading payments platform.

All UPI participants have been instructed to comply with the new protocols by June 30.

In May, UPI usage continued its upward trend, with 1,868 crore transactions recorded, amounting to Rs 25.14 lakh crore — marking a 33 per cent increase in volume and a 23 per cent rise in value year-on-year.