NPCI Mandates Banks to Update Disconnected Mobile Numbers Regularly

The National Payments Corporation of India (NPCI) has issued a directive requiring banks and payment service providers (PSPs) to regularly update their databases by removing disconnected or surrendered mobile numbers. According to NPCI’s circular dated March 3, 2025, this process must be carried out at least on a weekly basis to prevent errors arising from churned mobile numbers.

Weekly Database Updates to Reduce Errors

NPCI has emphasized that banks, PSP apps, and third-party application providers (TPAPs) must use the Mobile Number Revocation List (MNRL) or Digital Intelligence Platform (DIP) to ensure updated records. This will help minimize risks linked to recycled mobile numbers, ensuring that UPI transactions remain secure and seamless.

User Consent for UPI Number Seeding and Porting

The circular also highlights the need for explicit user consent before seeding or porting a UPI number. UPI applications must:

• Provide a clear opt-out option, where users actively choose to opt-in for the service.
• Ensure that consent is taken separately and not before or during a transaction.
• Avoid misleading or forceful communication regarding number seeding.

Additionally, communications regarding UPI number seeding must be transparent, ensuring users do not face unnecessary interruptions in receiving payments.

Local Resolution for Mapper Delays

If NPCI’s UPI mapper response time is slower than expected, PSP apps may resolve the number locally. However, PSPs must report such occurrences to NPCI monthly.

Enhancing UPI Interoperability

This directive follows a UPI Steering Committee meeting on July 16, 2024, along with multiple working group discussions. The primary objective is to improve UPI interoperability and user convenience while mitigating risks associated with outdated mobile numbers in banking databases.

Banks and PSPs have been given a deadline of March 31, 2025, to ensure full compliance with NPCI’s mandate.