NPCI Instructs Payment Apps To Deactivate Inactive UPI IDs By This Date – News18

A faction of individuals will quickly be unable to make UPI funds by way of third get together apps like Google Pay, PhonePe and PayTM very quickly. National Payments Corporation of India (NPCI) has directed banks and third get together apps to cease the UPI providers for accounts which have remained inactive for greater than a yr. This implies that when you’ve got not used UPI for transactions for over a yr, your UPI account will probably be frozen and also you will be unable to make use of it. This will happen from December 31, 2023. By guaranteeing that solely these UPI IDs which can be often used proceed to be lively, the change seeks to optimize and streamline UPI ID utilization. The instruction is a proactive measure to enhance the UPI ecosystem’s safety and effectivity.

The NPCI has acknowledged that it hopes that this motion will improve the safety of UPI transactions. In addition, a number of incorrect transactions will probably be prevented. All functions and banks will henceforth validate the UPI ID and linked cell variety of inactive customers, in accordance with the directives issued by the NPCI. The UPI ID will probably be closed if there may be neither a credit score nor a debit in a yr.

This motion is being taken since there have been a number of complaints of incorrect transactions reportedly obtained by NPCI. People continuously change their cell quantity however overlook to replace the UPI ID that goes with it, which is one main contributing issue to this. This quantity is given to another person, and the UPI continues to be lively there. Money despatched to that quantity on this state of affairs will probably be obtained by the one who now possesses it. Many such instances have been reported on account of why NPCI is now taking this step.