New UPI Rules! Now You can do UPI Payments without PIN

India’s most widely used digital payment system, the Unified Payments Interface (UPI), has become easier and safer to use. Starting October 8, users will be able to authorise payments using their face or fingerprint instead of a numeric PIN. This new feature is powered by Aadhaar.

How the New System Works

The National Payments Corporation of India (NPCI), which manages UPI, is reportedly introducing this feature to allow users to verify payments through biometrics. Beginning October 8, users may approve transactions using facial recognition or fingerprint scans, eliminating the need to manually enter a UPI PIN. NPCI plans to showcase this innovation at the ongoing Global Fintech Festival in Mumbai.

This upgrade represents a major shift in how digital transactions are authenticated in India and could greatly enhance convenience, especially for users who prefer contactless and password-free payments.

Aadhaar-Based Verification

The system will rely on Aadhaar-linked biometric data, maintained by the Government of India. Aadhaar already stores fingerprints, iris scans, and facial data of Indian residents, which will now be used to verify UPI transactions.

When a user initiates a payment, they will have the option to authenticate it by scanning their fingerprint or using facial recognition on supported devices. This process will remove the need for entering a PIN, allowing quicker transactions while maintaining a strong layer of identity-based security.

Regulatory Support

This development follows the Reserve Bank of India’s (RBI) recent decision to allow alternate authentication methods beyond traditional PINs. The RBI’s new framework encourages innovation in digital payments, giving fintech companies and banks greater flexibility to adopt emerging technologies for customer verification.

Expert Opinions

Experts believe biometric authentication could significantly reduce fraud related to UPI transactions. Unlike PINs, which can be shared or stolen, biometric data such as fingerprints or facial features are unique and nearly impossible to duplicate.