UPI in 2026: 12 hidden features including offline payments, credit lines and AutoPay
India’s Unified Payments Interface (UPI) has become the backbone of the country’s digital payments ecosystem, processing nearly 20 billion transactions every month. Yet many users still rely mainly on the basic “scan and pay” feature. Over the past few years, the National Payments Corporation of India has introduced several advanced tools that make payments faster, automated, and even possible without internet access in certain situations.
Here are 12 powerful UPI features in 2026 that many users still don’t fully utilise:
1. UPI Lite for small payments
Unified Payments Interface Lite allows users to make quick, low-value payments without entering a UPI PIN.
It works like a small wallet stored within the app. Users can load funds from their bank account and make payments up to ₹500 per transaction, with a maximum balance of ₹2,000.
This feature is ideal for everyday payments such as tea stalls, metro tickets, or small retail purchases.
How to enable:
-
Open your UPI app
-
Tap UPI Lite
-
Add funds from your linked bank account
It is available in apps like Google Pay, PhonePe and Paytm.
2. Tap & Pay (NFC payments)
With Tap & Pay, users can simply tap their smartphone on a merchant device or NFC-enabled QR tag instead of scanning a code.
The feature works on phones with near-field communication (NFC) capability and completes transactions instantly through compatible UPI apps.
For higher-value payments, users still need to enter their UPI PIN.
How to enable:
-
Turn on NFC on your phone
-
Select Tap & Pay inside your UPI app
Note: It requires both an NFC-enabled phone and merchant terminal support.
3. UPI AutoPay for recurring payments
UPI AutoPay allows automatic recurring payments for services such as OTT subscriptions, SIP investments, or utility bills.
Users can now manage all mandates through a central dashboard in their payment apps, improving transparency and control.
How to enable:
-
Approve a UPI mandate when subscribing to a service
Where to check:
-
Look for AutoPay or Mandates in your app settings.
4. Credit on UPI
UPI is no longer limited to bank balances. Credit on UPI allows users to access pre-approved credit lines from banks directly through UPI.
This feature brings the convenience of credit cards into the UPI ecosystem, especially for merchant payments.
How to enable:
-
Link the bank-approved credit line to your UPI app
Availability depends on whether your bank offers the feature.
5. UPI Lite Auto Top-Up
This feature automatically refills your UPI Lite balance when it drops below a set limit.
It eliminates the need to manually reload funds each time the wallet balance runs low.
How to enable:
-
Go to UPI Lite settings in your app
-
Turn on Auto Top-Up
Limits remain the same as standard UPI Lite transactions.
6. Offline payments with UPI Lite X
UPI Lite X allows limited payments without an internet connection, making it useful in areas with weak or no mobile data.
The system uses technologies such as NFC and on-device balance to process small-value transactions offline.
How to enable:
-
Activate UPI Lite X in supported apps.
7. Pay utility bills directly via UPI
Many UPI apps now integrate with the Bharat Bill Payment System, allowing users to pay electricity, gas, water, and telecom bills directly within the app.
How to use:
-
Open your UPI app
-
Go to the Bill Payments section.
8. UPI international payments
Indian travellers can now use UPI in several countries, including Singapore, the UAE, and France, through partnerships with foreign payment networks.
This is gradually turning UPI into a global digital payments platform.
9. UPI for IPO applications
Investors can use UPI to block funds while applying for initial public offerings (IPOs) under the ASBA mechanism.
How it works:
-
Apply for the IPO through a broker or platform
-
Approve the UPI mandate request.
10. UPI collect requests
UPI allows users to request money instead of sending it.
This feature is commonly used by freelancers, merchants, and small businesses.
How to use:
-
Open your UPI app
-
Select Request/Collect
-
Enter the recipient’s UPI ID and amount.
11. Multiple bank accounts in one app
UPI allows users to link multiple bank accounts to a single payment app and choose which account to use for each transaction.
How to enable:
-
Open your UPI app
-
Select Add bank account
-
Follow the on-screen steps.
12. Smart QR and dynamic QR codes
Merchants can generate dynamic QR codes that automatically include the payment amount, reducing manual errors and speeding up checkout.
How it works:
-
Scan the QR code
-
The amount appears automatically
-
Confirm payment.
How to stay in control of your UPI payments
Check active AutoPay mandates:
Open the Mandates/AutoPay section in your UPI app.
Cancel subscriptions:
Tap the mandate and choose Pause or Cancel.
Disable UPI Lite:
-
Go to UPI Lite settings
-
Withdraw funds
-
Turn off the feature.
Be cautious with collect requests:
If you receive a payment request from an unknown UPI ID, verify the sender before approving it.
UPI has evolved far beyond simple QR payments. With features like offline transactions, automated payments, and credit-based purchases, the platform is steadily becoming a complete digital payments ecosystem rather than just a money transfer tool.
As the National Payments Corporation of India continues to expand UPI’s capabilities, many of these features could soon become as common as the simple QR scan that launched India’s digital payments revolution.
FAQs
What are the new UPI features in 2026?
Key features include UPI Lite, UPI Lite X (offline payments), Tap & Pay via NFC, Credit on UPI, AutoPay mandates, international payments, and dynamic QR codes.
How does UPI Tap & Pay work?
It allows users to tap an NFC-enabled smartphone on a compatible terminal or tag to complete a payment without scanning a QR code.
Which UPI features are less commonly used?
UPI Lite, AutoPay mandates, Credit on UPI, offline payments via Lite X, and international UPI transactions remain underused.
What is the UPI Lite limit?
UPI Lite allows payments up to ₹500 per transaction with a maximum wallet balance of ₹2,000 loaded from a bank account.
Comments are closed, but trackbacks and pingbacks are open.