NPCI’s Move to End UPI Pull Transactions from November 2025: Explained

The National Payments Corporation of India (NPCI) is set to discontinue recipient-initiated person-to-person (P2P) digital payments—popularly known as ‘pull’ transactions—on UPI from November 2025.

This decisive step is designed to combat the growing threat of digital fraud and enhance the security of India’s real-time payment ecosystem.

What Are UPI Pull and Push Transactions?

Under the Unified Payments Interface (UPI) system, two types of transactions are possible:

• NPCI UPI pull transactions

• Push transactions: The payer initiates the payment, commonly by scanning a QR code or entering the recipient’s UPI ID.

• Pull transactions: The beneficiary initiates a “collect” request for funds which the payer must approve by entering their UPI PIN.

It’s this latter ‘pull’ feature that NPCI will disable after October 31, 2025, meaning users will no longer receive payment requests initiated by others on UPI platforms.

Why Is NPCI Ending Pull Transactions?

The measure stems from a significant rise in scams leveraging the pull-transaction method. Fraudsters have increasingly exploited this feature by sending deceptive collect requests, tricking users into unwittingly authorizing fraudulent transactions and losing their money.

Notably:

• P2P pull transactions comprise only about 3% of all UPI transactions, making this a targeted but impactful intervention.

• In financial year 2025, frauds linked to payment cards and internet banking more than doubled compared to the previous year, totaling nearly Rs 1,457 crore in losses.

• Most online payment scams occur through social engineering, including fake payment collection requests and impersonation techniques.

Implications for Users and Merchants

For Users:

• You’ll be protected from unsolicited and potentially fraudulent “collect” requests on UPI.

• Less risk of losing funds to scams that require you to approve unfamiliar or suspicious payment requests.

For Merchants & Small Sellers:

• The pull method was once useful for splitting bills or collecting payments, especially among friends, gig workers, and micro-merchants.

• Genuine merchants must shift to “push” model payments, where the customer now always initiates the transaction, typically via QR code.

• Unverified merchants and those not compliant with KYC (Know Your Customer) may face additional scrutiny or limitations.

NPCI’s Broader Agenda to Fight UPI Scams

The ban on pull transactions isn’t a standalone initiative but part of a broader package of NPCI mandates for 2025 to tackle digital payment fraud:

• CBS-Verified Names: From June 30, 2025, UPI apps are required to display only the bank-registered names of recipients—no more editable “nicknames”—making it harder to impersonate others.

• API Restrictions: NPCI is limiting the number of balance checks and account listings per day to minimize exploitation by cybercriminals.

• Faster Transaction Processing: New rules aim to reduce UPI response times, closing timing gaps that fraudsters exploited.

• Education: Ongoing awareness campaigns warn users against clicking unfamiliar links and stress safe payment practices.

How Does This Make UPI More Secure?

By stripping fraudsters of the ability to send ‘collect’ requests, one of their primary attack vectors is eliminated. The focus on name verification and API use restrictions ensures further hurdles for impersonators and scammers.

For consumers, these changes mean greater peace of mind every time you use UPI, while banks and payment apps are under increased pressure to follow best practices in fraud detection and user authentication.

What Should You Do Next?

• Get familiar with push-only UPI payments—scan QR codes, and always double-check recipient details before authorizing any transaction.

• Ignore or decline unknown requests, even if they appear to come from acquaintances.

• Report suspected fraud immediately using your UPI app’s complaint mechanism.

• Stay updated with your bank’s notifications about new payment features and security alerts.

India’s UPI revolution continues to set global benchmarks for digital payments, but staying ahead of fraudsters requires ongoing, proactive measures.

By discontinuing the high-risk pull transaction model, NPCI is making a bold move towards restoring trust and safety in every tap and scan.