New Delhi
If you use UPI, then there is good news for you. Through UPI, a big change is going to happen regarding overdroft facility. Under this, the credit line will be connected to direct UPI. After which you will be able to easily withdraw money from your loan account through UPI. The National Payment Corporation of India (NPCI) has issued a circular on 10 July 2025, in which new guidelines have been issued to pre-upuv credit lines for links to UPI.
It has been said in the circular that next month i.e. from August, you will be able to direct the use of the bank’s pre-upward credit line from UPI. Till now only it was allowed to buy goods. Now through UPI, the amount of credit line will not only be able to pay at the shops, but will also give the feature of paying the cash, sending money to the small shopkeepers.
Earlier this rule was different. The UPI could only be paid at the shops through a credit line, but now the loan overdrft can be used after linking to UPI.
Direct link will be from loan account UPI
Under the new rule, UPI users will now be able to use FICS deposits, shares, bonds, properties, gold or personal and business loan overdroft by linking it to UPI. In simple words, now you will be able to pay direct loan account from third party UPI apps like Paytm, PhonePe, Google Pay.
This service from next month
NPCI has instructed all UPI Bank members and those who provide credit line facilities to implement this facility by 31 August 2025. In such a situation, crores of users who use UPI will get the benefit.
What is a credit line
Let us tell you that the credit line is a kind of loan, which the bank or any financial institution approves users on the basis of income and credit score. You can link and use the appure credit line account to UPI on behalf of the bank.