The Reserve Bank of India increased the
limit for automatic payments through UPI to Rs 1 lakh per transaction from the
existing Rs 15,000 for certain categories, including subscription to mutual
funds.
As of now, relaxation in Additional
Factor of Authentication (AFA) is permitted while processing
e-mandates/standing instructions on cards, prepaid payment instruments and UPI
(Unified Payments Interface), for subsequent recurring transactions with values
up to Rs 15,000.
“…it has been decided to increase the
limit from Rs 15,000 to Rs 1,00,000 per transaction for… subscription to
mutual funds, payment of insurance premiums, and credit card bill payments,”
the central bank said in a circular on “processing of e-mandates for recurring
transactions”.
UPI has emerged a preferred mode of
payment for a large section of the population with over 11.23 billion
transactions recorded in November.
An announcement in this regard was made
by Reserve Bank Governor Shaktikanta Das, while unveiling the December bi-monthly
monetary policy last week.
PTI
