Google Pay rolls out UPI LITE feature for faster, low-value transactions

Payments app Google Pay on Thursday launched UPI LITE, enabling users to transact small-value payments without needing to enter their UPI pin. 

Users can activate the UPI LITE account within the same app and add up to Rs 2000, with the maximum per day limit pegged at Rs 4000. The app will select this UPI LITE account by default for transaction values less than or equal to Rs 200, subject to availability of funds in the UPI LITE account. 

Users can use the 'Pay PIN-Free' option to complete the transaction without the need to enter the UPI pin. However, users must enter the UPI PIN while setting up the UPI LITE account, according to the National Payments Corporation of India (NPCI) website. 

UPI LITE promises higher success rates for users even during peak transaction hours as this account is linked to the user's bank account but does not rely in real-time on the issuing bank's core banking system. 

The Reserve Bank of India (RBI) launched the UPI LITE feature in September 2022 to ease the UPI transaction process. The NPCI enables the feature, and 15 banks support it, the company said in a statement.

"At Google Pay, we feel privileged to partner with the Indian government along with NPCI and RBI, in growing the reach and usefulness of UPI. Unique offerings and use cases are core to driving further adoption of digital payments in the country and with the introduction of UPI LITE on the platform, we aim to simplify small-value transactions by helping users access a convenient, compact and superfast payments experience," said Ambarish Kenghe, VP Product Management from Google. 

Users can download the Google Pay app from the Play Store or App Store.