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Corporate Laws Central Ministry of Finance Payment and Settlement Systems Act, 2007

NPCI issues Enhancements in UPI Single Block Multiple Debits (UPI Reserve Pay)

08-Oct-2025 | NPCI/UPI/OC-228/2025-26

NPCI has issued Enhancements in UPI Single Block Multiple Debits (UPI Reserve Pay).

Key Highlights:
1. NPCI has launched UPI Single Block Multiple Debits, now called UPI Reserve Pay, allowing customers to block funds for multiple debits on a merchant platform until the block is used, revoked, or expires.
2. Extended Applicability - UPI Reserve Pay can now be used with all UPI-permitted sources of funds, including Savings Accounts (SA), Current Accounts (CA), Overdrafts (OD), RuPay Credit Cards, and pre-sanctioned Credit Lines, for merchant transactions. Existing guidelines continue to apply.
3. General Guidelines for Members - Members must follow RBI TAT and compensation guidelines, provide Online Dispute Resolution (ODR), reconcile transactions using purpose code 77, and ensure customers are informed of terms and conditions before blocking funds. Pricing rules for RuPay Credit Cards and pre-sanctioned Credit Lines apply.
4. Issuer Bank Responsibilities - Issuer Banks must display block details, send notifications for block creation, modification, debit, revoke, or expiry, debit only utilized amounts, allow one block per merchant per customer, and enforce a maximum block of Rs. 10,000 for up to 90 days.
5. Acquirer/Merchant Responsibilities - Reserve Pay should initially be enabled for verified online merchants with low-ticket, high-frequency transactions. Only successful debits count as payment, and failed transactions can be retried up to 3 times in 24 hours. Merchants must ensure instant debit before delivery (where applicable), allow users to set, update, or revoke blocks, and provide visibility of original block, remaining balance, expiry, and transaction history.
6. UPI App Responsibilities - UPI Apps must provide easy access to revoke blocks and display a consolidated view of all active blocks, including merchant-wise details, balances, expiry dates, and transaction history.


For more information, please refer to the attached document.

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