Agencies | New Delhi:
Paying through UPI could soon become easier even when a user’s smartphone does not have an active mobile internet connection, with the Reserve Bank of India (RBI) unveiling UPI Tap and Pay, a new facility that allows payments at NFC-enabled point-of-sale (POS) terminals by simply unlocking an NFC-enabled smartphone and tapping it on the machine.
RBI Governor Sanjay Malhotra announced the feature on September 10 as part of two new initiatives aimed at simplifying digital payments while strengthening customer support, security and user control.
Importantly, UPI Tap and Pay does not mean UPI transactions can be made without internet connectivity altogether. The user’s smartphone does not require mobile data for the transaction, as the payment can be processed using the internet connection available through the compatible POS terminal.
The new facility is designed to provide an experience similar to making a contactless card payment.
Users with NFC-enabled smartphones can unlock their devices and tap them against a compatible POS terminal. The transaction can then be processed through the terminal’s internet connection.
The facility supports multiple types of UPI-linked accounts, including RuPay credit cards linked to UPI.
For smaller transactions, users can make payments of up to Rs 5,000 without entering a UPI PIN. For transactions exceeding Rs 5,000, the UPI PIN will be required on the POS terminal.
The feature could make UPI payments more convenient at physical stores, particularly in situations where customers do not have mobile data available on their phones.
Alongside Tap and Pay, the RBI also introduced MyUPI, an AI-powered customer-support platform developed by the National Payments Corporation of India (NPCI).
MyUPI is built on NPCI’s FiMI Small Language Model and is designed to bring information relating to a user’s UPI transactions and AutoPay mandates together in one place, across different banks and UPI applications.
The platform is also equipped with features intended to give users greater control over their digital payments.
One such feature is the Safety Switch, which allows users to request that UPI debit transactions be declined if they suspect their account has been compromised.
Another feature, UPI Number Delink, allows users to stop receiving UPI payments through their mobile number.
MyUPI will also provide additional information about beneficiaries before a payment is completed. For eligible transactions, the platform will support automated chargeback processing, potentially simplifying the process of resolving certain payment-related issues.
A further feature, called Transaction Replay, will allow users to recall and repeat an earlier transaction through any UPI application.
UPI has become a central component of India’s digital payments ecosystem. According to NPCI, it accounts for 89 per cent of digital transactions in the country.
The latest initiatives indicate that the focus is increasingly shifting beyond simply enabling digital payments towards making transactions more convenient, secure and easier to manage.
While Tap and Pay seeks to simplify payments at physical terminals, MyUPI is designed to strengthen customer support and give users greater control over their accounts and transactions.
NPCI has described MyUPI as a trust and control layer, rather than merely a conventional customer-support service. It is intended to provide round-the-clock, multilingual assistance along with self-service options.
The new initiatives also build on NPCI’s efforts to simplify UPI authentication.
Biometric authentication for UPI was launched at GFF 2025, and the number of biometric-authenticated UPI transactions crossed 6.29 billion as of August 31, 2026, according to NPCI.
Together, UPI Tap and Pay and MyUPI signal another stage in the evolution of India’s digital payments ecosystem—one focused not only on processing transactions, but also on making payments more convenient, secure and easier for users to control.
