UPI transactions now 50% faster as NPCI cuts processing time to 15 seconds

This major upgrade to real-time payments across platforms like PhonePe, Google Pay, Paytm, and banking apps strengthens India’s global UPI leadership by enhancing transaction speed, reliability, and boosting overall user trust and experience

In a major fintech development, the National Payments Corporation of India (NPCI) has slashed the processing time for Unified Payments Interface (UPI) transactions, aiming to supercharge the country’s digital payment ecosystem. Effective today, UPI payments will now be completed in just 15 seconds, down from the previous average of 30 seconds, ensuring a smoother and faster experience for millions of users.

This significant enhancement in real-time payments applies to all major UPI-enabled platforms, including PhonePe, Google Pay, Paytm, and bank-supported apps. As India continues to dominate the global UPI landscape, this move marks a vital step in boosting transaction speed, reliability, and user confidence.

Reduced wait times for status

One of the key improvements includes faster confirmation for failed or pending transactions. NPCI’s revised guidelines now allow payment status to be clarified within 10 seconds, down from the earlier 30 seconds. This will help reduce transaction anxiety among users and improve the overall transaction success rate, especially in peak traffic hours.

Previously, apps were required to wait at least 90 seconds before checking the status of a stuck or delayed transaction. Under the new rule, banks and apps can initiate a status check as early as 45 to 60 seconds after the transaction begins. This change is expected to significantly improve backend responsiveness and reduce friction in high-volume digital payments.

In another crucial update, if a transaction fails to reach the UPI switch due to technical issues or network failures, it will now be automatically marked as failed. This preemptive action eliminates unnecessary delays and avoids repeated attempts to verify the payment status, thereby optimizing system performance.

Optimizing UPI server load

To ensure platform stability, NPCI has capped the number of status checks per transaction to three attempts within a two-hour window. This balance aims to provide quick resolution while avoiding server overload.

These enhancements are expected to fuel the next wave of fintech innovation in India. As UPI becomes more integrated into daily commerce — from kirana stores to online marketplaces — faster processing and improved reliability will play a pivotal role in scaling digital adoption.

With UPI already processing over 10 billion monthly transactions, this latest upgrade reaffirms India’s leadership in building one of the world’s most efficient and scalable instant payment systems.