• Source:JND
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On July 22, the National Payments Corporation of India (NPCI) and the Reserve Bank of India (RBI) announced new digital payments modes at the Global Fintech Fest 2025 held in Mumbai. Some of the new features include the launch of biometric and wearable glass-based authentication for UPI transactions, to make payments faster, simpler and more secure.

Now, instead of having to key in a UPI pin, one can now authenticate payments using their smartphone’s fingerprint or face recognition. This is an optional function; users can choose to make biometrics their preferred authentication mode, and all transactions will be processed with high-level security.

How Biometric UPI Payments Work

In the first phase, biometric UPI payments of up to ₹5,000 will be allowed across banks with limits to be reviewed later. Leveraging technology which people already have on their smartphones (like fingerprints or facial recognition), users would be able to:

- Pay friends without needing to key in or recall a UPI PIN.

- Say goodbye to failed transactions due to forgotten or incorrect pins.

- Allow the old and not so tech savvy users to use UPI better.

The NPCI has released a comprehensive rule set for rolling out biometric authentication on its website, which will help banks and UPI apps implement the feature securely.

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Safety and Security Considerations

Biometric authentication is convenient but has some implications:

Real-time transactions: Since biometric payments are conducted in real-time (and not require a PIN at all) there is much higher likelihood that an accidental payment would go through.

Permanent biometrics: The UPI PIN can be reset by users but fingerprints and facial data are permanent. It goes without saying that there has to be appropriate consent and security.

UPI apps to adopt rigid checks for security: Even as UPI (Unified Payments Interface) payment development is taking a faster pace, app developers will have to put up strong safety barriers.

-If you log in with a new device or re-bind your account, a fresh consent is needed.

- If you change or reset your UPI PIN, biometric authentication is temporarily disabled and must be reactivated.

The keys to encryption are changed annually at least, while not using the biometric system for 90 days will suspend biometric payments until users reconfirms them.

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Step-by-Step Guide to Using Biometric Authentication on UPI

1. Open your UPI app and initiate a new payment.

2. Scan the receiver’s QR code or tap on contact/merchant.

3. Amount and bank account for the payment.

4. If you are asked for a PIN select Use Biometric.

5. Unlock with your fingerprint or your face.

6. Wait for the confirmation message — no PIN is needed, your payment processes automatically.

Key Takeaways

Biometric based authentication for UPI will change the digital payments ecosystem in the country and enable a more secure, PIN less transaction option for everyday transactions. It is fast and convenient but do n’t forget the security measures and consent needed to avoid its abuse!

This goes to show India's moves ahead in adopting advanced fintech solutions, making UPI more than just a digital payments platform but a mechanism that’s larger in dimension and even simpler and secure for everyone.