UPI in 2025: What’s new for Indian users

Credit lines, higher limits, wallet interoperability — everything the NPCI shipped this year.

ilovedigital editorial Published 18 March 2026 Updated 1 June 2026 6 min read
A smartphone showing a digital payment interface
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UPI turned into far more than a payment rail this year. Here is what actually changed for everyday users.

Credit line on UPI

You can now attach a pre-approved credit line from banks like SBI, HDFC and Axis directly to your UPI app. Payments over your saved limit are billed to the credit line.

Higher daily limits

The daily limit for tax and hospital payments is now up to ₹5 lakh at eligible categories. Merchant payments continue at ₹1 lakh.

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Wallet interoperability

Prepaid wallets like Paytm and PhonePe are now fully interoperable over UPI — you can pay to any UPI ID from any wallet balance.

Frequently asked questions

Do I need a new app to use the credit line on UPI?

No — most major UPI apps show a new "Credit line" option once your bank enables it.

ilovedigital editorial
Careers desk

Our editorial team writes plain-English guides for Indian job seekers, freshers, and employers. Every guide is fact-checked before publishing.

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