NPCI UPI Rules- National Payments Corporation of India has taken a big step to resolve disputes related to wrong UPI payments. According to the new rules, banks have been given the right to take action in such disputes. This means that if a customer approaches the bank with a complaint of payment in the wrong account, failed transaction, etc., then the banks will have the right to take action on it. Till now, banks had to take approval from NPCI before taking any action. Regarding this, NPCI had issued a circular on June 20.
What is in the circular?
NCPI’s circular number 184B/2025-2026 dated 20 June 2025 mentions a new rule. It will come into effect from 15 July. According to this, banks will be able to register “Good Faith Chargeback”. This is related to the real and honest complaint of the customer. Its purpose is that the customer should not take much time to get his money back. Let us tell you that till now, if a bank repeatedly registers a problem for an account or UPI ID, it was rejected.
If the bank felt that the customer’s complaint was correct, then they had to manually send a request to NPCI to “whitelist”. This process was time consuming, which delayed the customer in getting the money back and the solution took a lot of time.
What will happen after the change?
NPCI has started a new system to make the chargeback process easier and faster, which is called RGNB i.e. Remitting Bank Raising Good Faith Negative Chargeback. Under this, if the bank now feels that the customer’s complaint is indeed correct, then they will be able to file a chargeback themselves without taking approval from NPCI like the old system.
This will happen even if the chargeback has been rejected several times on the same account or UPI ID earlier. Now if the bank feels that the customer’s complaint is correct, then it can file a “Good Faith” chargeback itself. This will speed up the resolution of complaints, money will be refunded quickly and there will be no need to get entangled in the technical process again and again.