No more internet worries: A new feature has been added to UPI payments—now you can pay by tapping. How does it work?
A major change is coming to the way UPI payments are made. It will now be possible to make payments in certain situations even without an active mobile internet connection on the phone. The National Payments Corporation of India (NPCI) has introduced two new features: 'UPI Tap and Pay' and 'MyUPI'. One feature simplifies payments via NFC, while the other leverages AI to consolidate various UPI-related services and address common issues in a single interface.
Both features were launched by Sanjay Malhotra, Governor of the Reserve Bank of India, at the Global Fintech Fest held in Mumbai on September 10, 2026.
What is UPI Tap and Pay?
The standout feature of UPI Tap and Pay is that a mobile internet connection on the phone is not required at the time of payment. For this to work, the user's smartphone must support NFC, and the payment terminal (Point of Sale machine) must also be NFC-enabled.
To make a payment, the user simply needs to unlock their phone and tap it against the NFC-enabled Point of Sale machine. The transaction will then utilize the machine's internet connection, allowing payments to go through even if the phone's mobile data is turned off.
Transfers up to ₹5,000 without a UPI PIN
According to the NPCI, various types of UPI accounts can be used with UPI Tap and Pay, including RuPay credit cards linked to UPI.
Certain payments of up to ₹5,000 can be made without entering a UPI PIN. For transactions exceeding this amount, the UPI PIN must be entered on the Point of Sale machine. This approach aims to expedite smaller payments while maintaining enhanced security for larger transactions.
What is MyUPI?
Alongside this, the NPCI has introduced 'MyUPI'. It is an AI-based service built on 'FiMi' (Finance Model for India), a specialized language model developed by the NPCI. FiMi was created with the Indian payment ecosystem in mind and already supports the UPI Help Assistant. The objective of MyUPI is to provide users with a centralized view of their transactions and AutoPay mandates across various banks and UPI apps. This makes it easier for users to monitor their UPI activities.
**Safety switch for suspicious accounts**
MyUPI will also feature a 'safety switch.' If a user suspects their bank account or UPI access is compromised, they can request to block incoming UPI debit transactions.
Additionally, there will be a facility to 'delink' the UPI number, allowing users to disconnect their mobile number from receiving UPI payments.
**More information before making a payment**
MyUPI will include a feature called 'Payee Context-Based Information.' This aims to provide additional details about the beneficiary—the person receiving the funds—before the payment is finalized.
This feature can help reduce the risk of sending payments to the wrong person. However, users should still double-check the beneficiary details and the amount before making a payment. The NPCI has consistently advised users to exercise caution to avoid UPI-related fraud.
**Easier repeat payments**
MyUPI will also offer a 'Transaction Replay' option. This allows users to repeat a previous payment without being dependent on any specific UPI app.
Meanwhile, automated chargeback processing will enable the initiation of chargebacks in real-time for eligible transactions. This aims to expedite the resolution process for payment-related complaints and disputes.
**24/7 multi-language support**
According to the NPCI, MyUPI will provide support in multiple languages, 24 hours a day, seven days a week. Users will be able to address various issues and requests through a self-service interface.
This system will benefit not only customers but also banks and UPI apps. It aims to simplify the process for banks and app companies to handle and resolve customer requests.
Why is this change significant for UPI?
UPI has already established itself as a major medium for digital payments in India. According to NPCI data, approximately 24.51 billion transactions were recorded on UPI in August 2026, with a total value of around ₹29.82 lakh crore.
In this context, features like 'UPI Tap and Pay' and 'MyUPI' go beyond merely speeding up transactions; they also aim to make payments more convenient, secure, and user-friendly. 'Tap and Pay,' in particular, can prove to be a useful option for users, especially when facing internet connectivity issues.
Disclaimer: This content has been sourced and edited from Amar Ujala. While we modified it for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.
