UPI Transaction Limits Increased: What You Need to Know

Starting September 15, 2025, the National Payments Corporation of India (NPCI) will roll out higher transaction limits on UPI for multiple categories. This step is being introduced to facilitate smoother high-value payments for users across sectors like insurance, investments, and credit card repayments.

Higher Limits for Key Categories

The biggest update is that transactions for categories such as insurance premiums, capital markets, government e-marketplace purchases, travel expenses, and business-related merchant payments will now carry a higher limit of up to ₹5 lakh per transaction. For many of these categories, the cumulative daily limit has also been doubled to ₹10 lakh within a 24-hour period.

These changes are expected to greatly benefit individuals and businesses who rely on UPI for large financial dealings such as investment payments, premium renewals, and credit settlements.

For merchants, the ₹5 lakh per transaction limit comes without a cap on the total daily transaction value, making it especially useful for businesses handling large volumes in digital payments.

UPI Continues for Everyday Transactions

Even as higher limits are introduced for select categories, the regular person-to-person (P2P) transaction cap will continue to remain ₹1 lakh per transfer, as per current guidelines. This ensures everyday UPI payments stay seamless for small transactions while simultaneously allowing heavy-value payments in specific segments.

The NPCI, in its announcement, emphasized that these changes align with the growing demand for larger transaction capacity through UPI, which continues to be India’s most popular digital payment system.

Updated UPI Transaction Limits from September 15, 2025