Recently the Reserve Bank of India has made a big announcement regarding banks. In fact, with the implementation of the new UPI system in all banks, it has been decided to increase the scope of the Unified Payment Interface. Let us know the news in detail…
The Reserve Bank of India (RBI) also announced the inclusion of pre-sanctioned credit lines issued by banks in the UPI system for transactions. Till now, only deposit amount transactions could be done through UPI system.
The central bank had proposed to expand the scope of Unified Payments Interface (UPI) in April. Under this, it was said to approve transfer/to transfer from loan facility already approved in banks.
At present, Savings Account, Overdraft Accounts, Prepaid Wallets and Credit Cards can be linked to UPI.
While issuing a circular on the operation of pre-approved loan facility in banks through UPI, the Reserve Bank said that now the loan facility has also been included in the scope of UPI.
The Reserve Bank said, under this facility, payment can be made through pre-approved credit facility issued to individuals by a scheduled commercial bank with the prior consent of the individual customer.
According to the central bank, this can reduce costs and help in the development of unique products for the Indian markets.
10 billion transactions through UPI in August-
Transactions through UPI, used for round-the-clock instant fund transfers through mobile devices, crossed the 10 billion mark in August. The figure of UPI transactions in July was 9.96 billion.
