Imagine finding yourself in a situation with no access to the internet and no cash on hand when you urgently need to make a payment. It could be while traveling in a remote area, inside a building with poor network reception, or during a crucial transaction where connectivity suddenly drops. In such critical moments, having the ability to make payments seamlessly, without relying on internet connectivity, becomes invaluable.

In the last few years, the National Payments Corporation of India (NPCI) has launched various products, aimed at digital transformation and inclusion. One of their recent releases to help with offline transactions is UPI Lite X – easy, hassle-free and quick.

Today’s blog delves into the basics of UPI Lite X.

As per NPCI, with UPI Lite X, you can make payments effortlessly even in areas with poor connectivity and unreliable networks. It’s incredibly straightforward – no internet connection is required on either your phone or the recipient’s. Whether you’re in a flight, a lift, or a basement, UPI Lite X allows seamless transactions. Debit from the sender’s bank and credit to the receiver’s bank are handled offline.

The must-knows of UPI Lite X

• The UPI LITE X offline must be enabled for the payer and the payee as well.
• UPI LITE X makes use of the existing UPI LITE wallet of the payer for offline transactions.
• The maximum amount that can be transferred offline at once is ₹ 500.
• The communication during the offline transaction with UPI LITE X is aided by NFC.
• Currently, offline transactions are limited and permit one debit and ten credit transactions.
• The users must get internet connectivity within 4 days of making an offline payment.
• At present, only Android users can avail of the transaction facility with UPI LITE X.

Understanding the transaction flow – for P2P Payments

Step 1: Initiating Payment 

The person paying (payer) opens their mobile wallet app and chooses “Tap to Pay” as the payment method.

Step 2: Confirming Payment Details

The payer enters the amount they want to send and confirms the transaction.

Step 3: Recipient Readiness

Depending on the system, the person receiving the payment (payee) might need to open their mobile wallet app to be ready to receive.

Step 4: Securely Transferring Funds

The payer taps their phone on the payee’s device to initiate the contactless payment.

Step 5: Connection Established 

The payer’s phone displays a message indicating a successful connection with the payee’s device.

Step 6: Seamless Payment Completion 

The transaction is completed without requiring a PIN entry for smaller amounts.

Understanding the transaction flow – for P2M Payments

Step 1: Initiating Payment 

The person making the payment (payer) opens their mobile wallet app and chooses “Tap to Pay” to proceed.

Step 2: Confirming Payment Details

The payer enters the amount they want to send and confirms the transaction.

Step 3: Transferring Funds with a Tap

The payer taps their phone on the payee’s device (referred to here as a “Sound Box”) to send the money.

Step 4: Successful Transaction Confirmation

The payer’s phone displays a message confirming a successful transaction without requiring a PIN (only for smaller amounts, depending on security settings).

Optional Step (Sound Box Specific): 

The Sound Box might provide an audio notification announcing the received amount (depending on its functionalities).

Benefits

• Offline transactions: With UPI Lite X, you can perform transactions seamlessly even without internet connectivity, ensuring you’re never stranded when you need to make a payment urgently.
• Enhanced accessibility: You can make payments from anytime, anywhere, even without an internet connection!
• Improved success rate: Its robust offline capabilities allow you to enjoy higher success rates. Transactions are processed efficiently, reducing the risk of payment failures and ensuring your transactions go through smoothly. This reliability makes UPI Lite X a dependable choice for all your payment needs, regardless of the network conditions.

Entering a new era of digital payments

NPCI continues to redefine India’s digital payment landscape with innovations like UPI Lite X. It represents NPCI’s commitment to empowering individuals and businesses alike, making financial transactions seamless and transformative.

Here’s to NPCI’s innovations serving as catalysts for progress in the digital economy, where every transaction fuels empowerment and connectivity.