New UPI Rules From April 1: NPCI Introduces Guidelines For UPI Number Seeding And Porting
The new guidelines are aimed at streamlining the overall process, and reduce transaction errors caused due to outdated or reassigned mobile numbers.
The National Payments Corporation of India (NPCI) has issued new guidelines for UPI-related facilities that will come into effect from April 1. One of the key introductions in the new UPI rules is related to mobile numbers.
"The Banks and Payment Service Provider (PSP) Apps shall use the Mobile Number Revocation List/ Digital Intelligence Platform (MNRL/DIP) and update their database accordingly at regular intervals, at least on a weekly basis," the NPCI's directive read.
This means that banks and other relevant financial institutions will be required to update their databases related to the Mobile Number Revocation List (MNRL) and Digital Intelligence Platform (DIP) weekly.
Typically, telecom operators in India reassign mobile numbers to other users if a certain number has remained inactive for 90 days. This has implications for the exciting user’s UPI and other accounts that are linked to the mobile number. To streamline the process, financial institutions are required to regularly update their databases by using the MNRL and DIP database. This ensures that mobile numbers which have been reassigned after being inactive are correctly reflected in the bank and payment service databases.
The new guidelines mandate that UPI apps must obtain explicit consent from users before linking (seeding) or transferring (porting) their UPI number to another platform. The app cannot ask for consent before or during a transaction, the NCPI said further.
"UPI App shall ensure clear, non-intrusive communication without misleading/forceful messaging. Consent shall not be taken before or during a transaction in any condition," it explained.
The agency also said that the UPI apps will have to ensure that no misleading messages are used for this purpose. For example, users should not be told that they will stop receiving payments unless they act on seeding their UPI number.
In cases where the NPCI mapper does not respond on time, the PSP app can temporarily resolve the UPI number locally. But they will need to inform the NCPI in a month’s time, the rules state.
The move aims to streamline the overall process, and reduce transaction errors caused due to outdated or reassigned mobile numbers.
