UPI Payments Disrupted; NPCI Collaborates with Banks for Solutions

One of the most popular interbank payment systems run by the National Payment Corporation of India is UPI. This app is under scrutiny as it faces multiple bank servers down on Tuesday evening. "Regret inconvenience on UPI connectivity as a few of the banks are having some internal technical issues. NPCI systems are working fine and we are working with these banks to ensure quick resolution," NPCI said on Twitter.

Bankers said the issue is a systemic one. "There have been issues which have impacted some payments. We are still finding out what has caused it," said a senior bank official. Multiple users took to social media channels to flag concerns about UPI payments not going through.  Kotak Mahindra Bank, HDFC Bank, Bank of Baroda, and Google Pay faced outage. Mails sent to all these banks did not elicit any response till press time. This issue comes at a time when talks are on regarding shifting UPI payment settlements from Paytm Payments Bank to other lenders reported by ET.

Regret inconvenience on UPI connectivity as few of the banks are having some internal technical issues. NPCI systems are working fine and we are working with these banks to ensure quick resolution.

— NPCI (@NPCI_NPCI) February 6, 2024

Experts say that this issue might be because of Paytm ban, customers might face large transaction failures since the massive load from Paytm might be difficult for other lenders to support. Regret the inconvenience on UPI connectivity as a few of the banks are having some internal technical issues. NPCI systems are working fine, and we are working with these banks to ensure quick resolution.