The Reserve Bank of India has proposed to include UPI Lite within the e-mandate framework, introducing an auto-replenishment feature for mobile wallets when the balance falls below a user-defined threshold.
Under this proposal, if a user sets a minimum balance of Rs 500 for their UPI Lite wallet, and the balance drops below this amount, the wallet will automatically reload to Rs 2,000, which is the maximum limit for UPI Lite wallets.
UPI Lite was introduced by the National Payments Corporation of India (NPCI) in September 2022. It allows users to conduct transactions up to Rs 500 without requiring a PIN, streamlining the process. The maximum balance limit for UPI Lite wallets is set at Rs 2,000.
This feature is currently available on various payment platforms including Paytm, BHIM App, and Google Pay, among others. Several banks, including Canara Bank, HDFC Bank, and State Bank of India, are already operational on the UPI Lite platform.
