Mumbai: India’s digital payments landscape is undergoing a significant security upgrade. From April 1, 2025, banks and payment service providers (PSPs) will suspend Unified Payments Interface (UPI) services linked to inactive or reassigned mobile numbers. This move, spearheaded by the National Payments Corporation of India (NPCI), aims to curb fraud and unauthorised transactions arising from mobile number churn.
Why is This Change Necessary?
With UPI driving a substantial portion of digital transactions in India, security threats linked to inactive mobile numbers have become a growing concern. When users change or deactivate their mobile numbers, their UPI-linked accounts often remain active, making them vulnerable to misuse. Fraudsters could potentially gain access to financial transactions if the reassigned number is not delinked in time. To prevent such security breaches, banks and PSPs will now proactively remove dormant numbers from the UPI ecosystem.
How Banks Will Implement the New Rule?
– Banks and PSPs will periodically identify and flag mobile numbers that have been deactivated, reassigned, or inactive for an extended period.
– Affected customers will receive notifications from their bank or PSP, informing them about the potential suspension of their UPI services.
– Mobile numbers that remain inactive despite warnings will be delisted from the UPI system to prevent unauthorized access.
– Customers can restore their UPI access by updating their mobile number with their respective banks before the deadline.
Who is at Risk of Losing UPI Access?
Users Who Recently Changed Their Mobile Number: If you switched to a new number but haven’t updated your banking details, your UPI services could be disrupted.
Users with Inactive Mobile Numbers: Numbers that have not been used for calls, SMS, or banking notifications for a prolonged period may be flagged as inactive.
Users Who Surrendered Their Mobile Number: Those who discontinued a mobile number without updating their bank records risk having their UPI services suspended.
Reassigned Mobile Numbers: If a mobile number is reassigned to a new user while still being linked to an old UPI account, it will be deactivated to prevent misuse.
How to Ensure Your UPI Services Remain Active?
– Check if Your Mobile Number is Active
– Call or message a friend to confirm your number is still in service.
– Ensure you’re receiving bank SMS alerts and OTPs.
– Log in to your UPI app and check if transactions are going through.
– Contact your telecom provider to verify your mobile number status.
Update Your UPI-Linked Mobile Number
Via Net Banking: Log in, go to the profile section, update your mobile number, verify via OTP, and submit the request.
At a Bank Branch: Visit your bank, fill out a mobile number update request form, and provide valid ID proof.
Using UPI Apps: Open the app (Google Pay, PhonePe, Paytm, etc.), navigate to settings, and update your number via OTP verification.
Through an ATM: Insert your debit card at an ATM, select the mobile number update option, enter your new number, and confirm via OTP.
Impact on Businesses and Merchants
Retailers and Online Sellers: Businesses relying on UPI for transactions may experience payment failures if their registered number is inactive. Updating contact details promptly will prevent disruptions.
Freelancers and Self-Employed Professionals: Those receiving payments through UPI must ensure their mobile number remains active to avoid losing payments.
Corporate UPI Users: Companies handling bulk UPI transactions should confirm that their registered numbers remain valid to prevent payment processing delays.
Take Action Now
With UPI deeply embedded in India’s digital financial ecosystem, ensuring a seamless transition under the new rule is essential. By proactively verifying and updating your registered mobile number, you can prevent disruptions and continue enjoying hassle-free digital transactions. Don’t wait until April 1—secure your UPI access today!
