PhonePe, one of India’s most popular digital payment platforms, allows users to make a wide range of transactions, including money transfers, bill payments, mobile recharges, and online purchases. However, like most payment platforms, PhonePe enforces transaction limits for security reasons and to comply with financial regulations.
If you’ve ever encountered a transaction limit issue on PhonePe, or if you’re curious about how to check and increase your transaction limits, this guide will walk you through everything you need to know.
Why Does PhonePe Have Transaction Limits?
PhonePe has transaction limits in place to ensure that transactions are secure, compliant with regulations, and that users’ financial data remains protected. These limits vary depending on factors such as:
- Account Verification Status: Your PhonePe account must undergo a KYC (Know Your Customer) process for higher transaction limits.
- Payment Method: Different payment methods (bank transfer, UPI, wallet) may have different limits.
- Regulatory Requirements: As per government and RBI (Reserve Bank of India) guidelines, digital wallets and payment apps are required to adhere to certain financial regulations.
Types of PhonePe Transaction Limits
PhonePe sets different limits based on the type of transaction and the verification status of your account. Here are the key categories of transaction limits:
1. Transaction Limits for UPI Payments
For UPI-based transactions (using your UPI ID linked to a bank account):
- Per Day Limit: ₹1,00,000 per day for UPI payments, although this can be lower if your bank has different limits.
- Per Transaction Limit: Varies between ₹10,000 and ₹1,00,000, depending on the bank’s UPI policies.
2. PhonePe Wallet Limits
PhonePe offers a digital wallet where you can store money and use it for payments:
- Non-KYC Account: You can add a maximum of ₹10,000 to your PhonePe Wallet.
- KYC-Verified Account: You can add up to ₹1,00,000 and make transactions with the same limit.
3. Merchant Transactions
When paying merchants through PhonePe, the per-transaction limit is usually ₹1,00,000 or more depending on your account status and KYC verification.
4. Bank Transfers
When transferring funds from your PhonePe wallet to a linked bank account, the limit is typically:
- ₹25,000 per day for non-KYC users
- ₹1,00,000 per day for KYC-verified users
How to Check Your Current PhonePe Transaction Limits
To check your current transaction limits, follow these simple steps:
Step 1: Open the PhonePe App
- Launch the PhonePe app on your phone.
Step 2: Go to ‘My Money’
- From the home screen, tap on the ‘My Money’ icon located at the bottom right corner.
Step 3: Check Wallet and Payment Limits
- In the ‘My Money’ section, you’ll see details about your wallet balance, linked bank accounts, and UPI ID.
- To check your wallet balance and limits, tap on ‘PhonePe Wallet’ and look for the ‘Add Money’ or ‘Transaction Limits’ section. This will show you your current wallet limits.
- For UPI and bank transfer limits, you’ll need to tap on ‘Bank Accounts’ to view your limits for transferring money.
Step 4: Check the KYC Status
- Go to ‘Profile’ by tapping on your profile icon in the top left corner of the home screen.
- Tap on ‘KYC Status’ to see if your account is fully verified. If not, it will show that your account is unverified or partially verified, which could be why your transaction limits are lower.
How to Increase PhonePe Transaction Limits
If you want to increase your transaction limits, you must complete the KYC (Know Your Customer) process. KYC verification not only boosts your transaction limits but also helps in increasing the security of your account.
Step 1: Open the PhonePe App
- Open the PhonePe app on your phone.
Step 2: Go to Profile Settings
- Tap on your profile icon in the top left corner to access ‘Profile’ settings.
Step 3: Initiate KYC Process
- Under the ‘Profile’ section, tap on ‘KYC’ to begin the process.
- PhonePe will ask you to verify your identity using documents such as:
- Aadhaar Card
- PAN Card
- Passport
- Voter ID
You may need to provide a selfie for identity verification.
Step 4: Complete the KYC Verification
- You will be asked to upload KYC documents (Aadhaar, PAN, etc.), and once you submit them, the PhonePe team will verify your details.
- If your KYC is successful, you will receive a confirmation and your transaction limits will be increased.
What Happens After Completing KYC?
Once your KYC is verified, you will enjoy several benefits, including:
- Higher Wallet Limits: Increase in wallet load limits up to ₹1,00,000.
- Higher Transaction Limits: UPI transactions and bank transfers can go up to ₹1,00,000 per day.
- More Payment Flexibility: Access to larger transactions for bill payments, recharges, and merchant payments.
- More Secure Transactions: With full KYC, your account becomes more secure and aligned with financial regulations.
What If You Don’t Complete KYC?
If you don’t complete the KYC process, your transaction limits will be restricted:
- PhonePe Wallet: You can only add up to ₹10,000 to your wallet.
- Bank Transfers: You can transfer a maximum of ₹25,000 per day.
- UPI Transactions: You may have limited access to higher UPI transaction limits.
KYC verification is essential if you plan to use PhonePe for larger transactions or want to benefit from higher limits.
Common Issues with PhonePe Transaction Limits
Here are a few issues users may face regarding transaction limits on PhonePe:
- Transaction Fails Due to Limit: If your transaction exceeds your current limit, it will fail. Make sure your transaction is within the limit, or complete KYC to increase the limit.
- Bank-Specific Limits: Some banks impose their own limits on UPI transactions, which may be lower than PhonePe’s limits. Check with your bank if you’re facing issues with large transactions.
- Temporary Hold on Transactions: Sometimes, PhonePe may temporarily hold or restrict transactions due to security checks or suspicious activity. Contact PhonePe support if you encounter this issue.
Conclusion
PhonePe’s transaction limits are designed to ensure security and compliance with financial regulations. If you are facing transaction limits and need to increase them, completing the KYC process is the way to go. Once verified, you can enjoy increased transaction limits for wallet balance, bank transfers, and UPI transactions.
By regularly checking your transaction limits and completing KYC, you can ensure a smooth and hassle-free experience when making payments through PhonePe.