NPCI has introduced UPI Tap and Pay and MyUPI, two features designed to simplify digital payments, improve access to transaction information and give users more control over selected UPI functions. Tap and Pay was introduced on September 10, while MyUPI is positioned as an AI-based support platform for UPI users.
Under UPI Tap and Pay, users with NFC-enabled smartphones can make payments by unlocking their phones and tapping them on a compatible point-of-sale terminal. The phone does not need an active mobile internet connection for the transaction, but the POS machine must be connected to the internet for the payment to be processed.
The feature does not mean that UPI will work everywhere without internet access. It requires NFC support on the smartphone and compatibility on the payment terminal. The facility is intended for situations in which a user’s mobile data is unavailable but the merchant’s POS terminal remains connected.
Payments of up to ₹5,000 can be made through Tap and Pay without entering a UPI PIN, according to the information released about the feature. Transactions above ₹5,000 will require the user to enter a UPI PIN. The feature is expected to support several types of UPI-linked accounts, including RuPay credit cards connected to UPI.
The process is designed around a contactless payment interaction: the user unlocks the phone, taps it on the POS terminal and completes the transaction under the applicable payment conditions. The requirement for an unlocked phone and the PIN threshold remain important controls for users and merchants.
NPCI has also introduced MyUPI, an AI-based customer-support platform built on NPCI’s FiMI Small Language Model. Its stated purpose is to bring UPI-related information and support services into one place. Users may be able to access details about UPI transactions and AutoPay mandates without checking multiple bank or payment applications.
MyUPI is also intended to provide additional information about a beneficiary before a payment is completed. This could help users review payment details before transferring money. The platform is described as offering automated chargeback processing for eligible transactions and a transaction-replay facility that allows users to repeat an earlier transaction.
The update includes controls focused on payment safety. A Safety Switch will allow users to request rejection of suspected UPI debit transactions. The UPI Number Delink facility will allow users to disable the option of receiving UPI payments through their mobile number.
NPCI says MyUPI is intended to function as a trust and control layer, with planned 24-hour, multilingual assistance and self-service options. The features are aimed at reducing dependence on separate bank or payment-app customer-care channels for routine UPI information and support. Details about availability across individual banks, applications and POS terminals were not specified in the supplied announcement.
