PhonePe, GPay, Paytm Users Alert: New UPI Rules From Nov 3 Explained
PhonePe, GPay, Paytm users take note: From Nov 3, NPCI introduces new UPI rules separating authorised and dispute transactions. Check details now.
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The National Payments Corporation of India (NPCI) has announced changes to the way UPI (Unified Payments Interface) transactions are settled. The update affects both authorised payments and disputed transactions, aiming to make the settlement process faster, smoother, and more efficient.
What Are Settlement Cycles?
UPI transactions are settled multiple times a day through RTGS (Real-Time Gross Settlement). Each settlement cycle is a batch of transactions that gets processed at a specific time. Earlier, both authorised payments and dispute cases were mixed in each cycle, which sometimes caused delays due to the growing volume of transactions.
What’s Changing?
To improve speed and clarity, NPCI has decided to separate authorised transactions and disputes into different cycles:
1. Authorised Transactions:
* Settlement cycles 1 to 10 will now handle only authorised payments.
* No dispute cases will be processed in these cycles.
* RTGS posting timings and cut-off schedules remain the same.
2. Dispute Transactions:
* Settlement cycles 11 and 12 will be dedicated exclusively to disputed transactions.
* These cycles will use the identifiers DC1 and DC2 in the NTSL file naming system, where “DC” stands for dispute cycle.
3. Other Rules:
All other procedures, including reconciliation reports, GST reports, and settlement timings, remain unchanged.
Why This Matters
* Separating authorised and dispute transactions will help reduce delays and errors.
* RTGS users will benefit from clearer settlement schedules and faster completion of transactions.
* Businesses and banks will find it easier to track disputed transactions without affecting regular payments.
Autopay Mandate Deadline Extended
NPCI has also extended the deadline to stop all autopay mandates linked to old @paytm UPI IDs to October 31, 2025, giving users extra time to update their payment setups.
Quick Summary of New UPI Settlement Cycles
* Cycles 1–10: Authorised transactions only
* Cycles 11–12: Dispute transactions only
These updates aim to make UPI settlements more reliable for millions of users and ensure that both regular and disputed transactions are processed efficiently.
