From UPI Rules to Trading Hours: Major Financial Changes Effective August 1, 2025

From August 1, 2025, several important financial changes will come into effect in India. These updates will influence how people use digital payments, manage their credit cards, buy fuel, and even trade in financial markets. The aim behind these changes is to make systems more efficient, reduce delays, and protect users from possible risks. Here’s a detailed look at what’s changing and how it could affect you.

UPI Transaction Rules See a Major Overhaul

• The National Payments Corporation of India (NPCI) has decided to bring in a set of reforms to the Unified Payments Interface (UPI) system. These changes, announced in April this year, are designed to make UPI faster and more stable, especially during high-traffic hours.
• One of the key changes is the balance check limit. Users will now be allowed to check their account balance up to 50 times a day on each UPI app. If someone uses multiple apps like PhonePe, Google Pay, or Paytm, the limit applies separately to each. However, NPCI recommends avoiding frequent balance checks during peak hours to keep the network running smoothly.
• Auto-pay transactions will also be restricted to certain times of the day. Payments for subscriptions, bills, and other recurring charges will now be processed only in non-peak hours — before 10 in the morning, between 1 and 5 in the afternoon, and after 9:30 at night. This move is intended to prevent slowdowns in regular payment processing.
• To further improve performance, the number of times you can check the status of a UPI transaction will be capped at three, with a mandatory 90-second gap between each check. Similarly, you can view your linked bank accounts a maximum of 25 times per day per app.
• Perhaps one of the most user-friendly updates is the new beneficiary name display feature. Before you send money, the recipient’s registered bank name will be shown on your screen, helping you confirm you’re paying the right person and reducing the chances of fraud.

SBI to Withdraw Free Air Accident Insurance on Credit Cards

Another significant change this month comes from the State Bank of India (SBI). The bank has announced that it will discontinue the complimentary air accident insurance cover offered on many of its co-branded credit cards.

Until now, premium cards such as the UCO Bank SBI Card ELITE, Central Bank of India SBI Card ELITE, PSB SBI Card ELITE, and KVB SBI Card ELITE offered coverage of ₹1 crore. Similarly, mid-range cards like the SBI Card PRIME and several SBI Platinum Credit Cards provided coverage of ₹50 lakh. From August 1, this benefit will no longer be available.

This means frequent flyers and travellers who rely on this insurance for protection during air travel will now need to purchase separate accident cover if they want the same level of safety.

Fuel Prices May See a Revision

August 1 also marks the monthly review date for LPG cylinders, Compressed Natural Gas (CNG), Piped Natural Gas (PNG), and Aviation Turbine Fuel (ATF). While the exact changes will depend on global oil prices and domestic market conditions, consumers should be ready for potential adjustments. A price hike could increase household cooking costs and transport expenses, while a reduction would offer some much-needed relief.

Trading Hours Extended in Key Financial Markets

The Reserve Bank of India (RBI) is also extending trading hours for certain markets. This is part of a two-phase plan announced earlier this year. From July 1, 2025, the call money market began operating from 9:00 am to 7:00 pm. Now, starting August 1, the market repo and Tri-Party Repo (TREPs) markets will see their hours extended to 9:00 am to 4:00 pm.

These changes will give banks and financial institutions more time to manage short-term funds, which could improve overall market liquidity and efficiency.

RBI Monetary Policy Meeting on the Horizon

Looking ahead, the RBI’s Monetary Policy Committee (MPC) will meet from August 4 to 6, 2025, to decide whether the repo rate should be changed. The repo rate is the interest rate at which the RBI lends money to commercial banks. A rate increase usually makes loans costlier but can help control inflation, while a decrease makes borrowing cheaper but could lower deposit rates. This decision will directly influence home loan EMIs, personal loan rates, and fixed deposit returns.

The Bottom Line

The first week of August 2025 is bringing a wave of financial updates that will impact everyday life. Digital payment users will face new UPI limits designed to keep the system fast and secure. SBI credit cardholders will lose a valuable insurance benefit, possibly prompting them to buy separate cover. Fuel prices may change, affecting household budgets. Traders and financial institutions will have more time in the market, and borrowers will soon learn whether their loan EMIs are going up or down.

Being aware of these developments can help you plan your finances better and avoid last-minute surprises.