Terms of Use of PhonePe UPI

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This document is an electronic record in the form of an electronic contract formed under information technology act, 2000 and rules made thereunder and the amended provisions pertaining to electronic documents / records in various statutes as amended by the information technology act, 2000. This document shall be read in conjunction withPhone Pe ToU.


The Unified Payments Interface ( UPI) is a payment platform built by NPCI (National Payments Corporation of India) that allows instant online payments between the bank accounts of any two parties’. UPI offers an architecture and a set of standard API specifications to facilitate these online payments. It aims to simplify and provide a single interface across all NPCI systems besides creating interoperability and superior customer experience.

These terms and conditions regulate the payments under the Unified Payment Interface (“UPI”), a payment service platform (“Platform”) developed by National Payments Corporation of India (“NPCI”), an umbrella organisation incorporated in 2008 and acting as the settlement/clearing house/regulatory agency for UPI services. The application software (“PhonePe App”) which connects the Platform is being offered by PhonePe Private Limited (“PhonePe”) a company incorporated under the Companies Act, 1956 with its registered office at Unit No.001, Ground Floor, Boston House, Suren Road, Off. Andheri-Kurla Road, Andheri (East) Mumbai – 400 093, India (hereinafter referred to as "PhonePe") through notified Payment Service Provider Banks (“PSP”). The UPI services (“Services”) are being offered under the brand “PhonePe”.

PhonePe Private Limited (“PhonePe”) is a TPAP authorized by NPCI to facilitate payments through sponsor PSP Bank(s) namely Yes Bank Ltd. and ICICI Bank Ltd. PhonePe is a service provider in the UPI payment ecosystem and We participate in UPI through the PSP Banks.


“NPCI” - NPCI is an authorized payment system operator by RBI. NPCI owns and operates the UPI payment system.

“UPI” - Unified Payment Interface, as defined by NPCI under respective directives and notifications.

“PSP Bank” - PSP is the banking company authorized to act as a Payment Service Provider (PSP) under the UPI framework. PSP engages the TPAP to provide UPI services to the end-user customers.

“TPAP” - Third Party Application Provider (TPAP) is an entity that provides the UPI compliant app(s) to the end-user customers to facilitate UPI based payment transactions.

“Customer’s Bank” - The Bank where the end-user customer maintains his/her account that has been linked for the purpose of debiting/crediting the payment transactions made through UPI.

“You”, “Yours”, “Yourself”, “end user customer”, “user”- is the individual who uses UPI payment facility to send and receive payments and avails UPI facility by inking their Bank Account(s).

“We”, “Our”, “Ourselves”, “PhonePe”- Refers to PhonePe Private Limited.

“PhonePe App” - The mobile application(s), hosted by PhonePe and PhonePe Entities for providing PhonePe services to its users, including merchants and service providers.

‘PhonePe Platform” - Refers to any platform owned/subscribed/used by PhonePe Private Limited or any other PhonePe Entities not limited to websites, mobile applications, devices, URLs/links, notifications, chatbot, or any other communication medium used by PhonePe Entities to provide its services to its Users.

“PhonePe Services” - shall include all services extended / to be extended by PhonePe and PhonePe entity as a group including but not limited to Pre-Paid Instruments, Gift cards, Payment Gateway, Recharges and Bill Payments, Insurance, Mutual Funds, Gold sale & purchase, switch including others.

“Bank Account / Payment Account”- Any bank account or any other payment accounts offered by a regulated entity where money can be held, money can be debited from, and can be credited to.

“VPA” - unique Virtual Payment Account, registered with NPCI that can be linked with your Bank account.

“UPI PIN”- Personal Identification Number which is used as authorization credentials by the Issuer Bank for debiting a customer's account. It will be 4-6 digits numeric PIN only.


PhonePe UPI is offered via PhonePe App to its registered users having PhonePe account. UPI is a qualified PhonePe service and you need to have Your own Bank Account linked with Your active mobile number in order to register and access to PhonePe UPI.

The registration process is a standard process which is defined and governed by NPCI under UPI guidelines and may change from time to time. PhonePe in the capacity of TPAP is responsible for implementing the process as notified by NPCI from time to time. You understand that the registration process may include access to Your mobile network and sending an unique SMS using your Phone to verify, validate, register and link Your Bank Account on UPI Platform and create an unique Virtual Account Number (“VPA”).

PhonePe does not store the Bank Account number linked to Your VPA. Further, VPA can be used to:

  • Pay at merchant locations using QR code through your PhonePe App.
  • Online through certain merchant websites.
  • For making payment for PhonePe Services as permitted by the regulators and Payment System Providers.

The details provided by You as part of the UPI registration process, which includes your Banking Information, shall be shared and maintained at PSP Bank’s and NPCI’s secure library and You consent to share and authorize PSP Bank and NPCI to maintain this data.


PhonePe UPI can be used for Person to Person money transfers or to purchase products and services online or offline on any Merchant platform. Your UPI PIN needs to be entered on Your mobile to authorize every PhonePe UPI payment. You need to ensure that You are connected to the internet at the time of making any transaction. However, this facility may not be extended by PhonePe or PhonePe Entities for all transactions.

While making Payments for PhonePe Services on PhonePe Platform, you may make Payments using PhonePe UPI in case your balances on other payment instruments, including PhonePe PPI wallet or Gift card is not sufficient to process such transaction.

PhonePe UPI is one of the payment options available to You on various Merchant platforms and We assume no responsibility for the products / services purchased using PhonePe UPI and any liability thereof is expressly disclaimed.

UPI transactions are subject to minimum and maximum transaction limits that may be set by PhonePe, User, Issuer Bank, the Payment Participants or as may be prescribed under the provisions of Applicable Law. Further, PhonePe, Bank - PSP or other Payment Participants may also reject/suspend Transactions (in whole or in part)based on their respective policies and assessment.

Your transaction records can be reviewed within the PhonePe App - “History” section. You are required to review all transactions and in case you identify any error or unauthorised transaction, you are requested to notify this as per the notified Dispute Redressal Mechanism.

  • Charges:
    PhonePe does not charge its Users any fee for creating an Account, however, We reserve the right to change its fee policy from time to time. We may introduce fees for any new services or amend/introduce fees for existing services, as the case may be. Changes to the fee(s) shall be displayed accordingly to You via website/app and such changes shall automatically become effective immediately after they are posted. Unless otherwise stated, all fees shall be quoted in Indian Rupees.
    Your bank may charge you a nominal transaction fee for UPI transfers- please check with your bank for any such charges.
  • Transaction Monitoring:
    PhonePe may review your activity and transactions on PhonePe and PhonePe entities for identifying high risk transactions. We may also engage Third Party Providers to assist Us in these efforts. In case, transactions processed by you or any other activity that We believe may be suspicious or unusual, we may temporarily or permanently suspend your access to PhonePe UPI services.
    Your transaction may be rejected due to reason not limited to risk management, suspicion of fraudulent, illegal Transactions, selling of prohibited items, use of compromised or blacklisted cards or UPI accounts, chargebacks/complaints or for other reasons as prescribed in the Payment Participant Rules. We may further investigate and may suspend or terminate your PhonePe account, report the transaction and your account details to legal enforcement agencies or other regulatory authorities as applicable or notified by law.

User Responsibility & Obligations

While your register and transact on using PhonePe UPI, You are required to ensure the following -

  • You are solely responsible for linking Your correct bank account.
  • Since Your mobile number is treated as the primary identifier, Your mobile number needs to be updated with the bank linked to PhonePe App in case of any changes.
  • If You change the mobile number registered with Your PhonePe Account, You will have to re-register your new mobile number with PhonePe. To re-enable the Service, you need to register your new mobile number with your bank as well.
  • You are solely responsible to keep Your OTP, UPI PIN and bank account related details confidential. Sharing such information with others may lead to unauthorized usage, for which PhonePe shall not be responsible.
  • You shall take full responsibility of the payment request that you make and authorize on PhonePe UPI, including addition of beneficiary, typing and reviewing VPAs and validating intended recipients and We do not take correctness of information that you enter during payment processing, including authorization.
  • You agree that if You provide any information that is untrue, inaccurate, not current or incomplete or We have reasonable grounds to suspect that such information is untrue, inaccurate, not current or incomplete, or not in accordance with the Terms of Use, We shall have the right to indefinitely suspend or terminate or block access to Your Account.
  • We shall ensure that all your confidential data pertaining to your money transactions, bank account details, and all other sensitive personal information are protected and kept confidential by employing best available protection standards, which are more fully set out in ourPrivacy Policy.
  • You agree that PhonePe UPI, PSP or any other system participant in UPI Payment System shall not be liable for any delay in the completion of the funds transfer or any loss on account of error in the execution of the funds transfer by you.
  • You are required to ensure availability of sufficient funds in PhonePe UPI linked Bank Account(s) in order to avoid transaction declines and charges if any accessed by your issuer Bank.
  • You agree and understand that 'PhonePe' shall onboard you on the NPCI operated centralised mapper(s) such as'Numeric UPI ID Mapper' to enable you to send or receive funds using a defined 'UPI Number' (which would be your mobile number by default) and you agree and consent that such onboarding shall be done by PhonePe on your behalf within the defined and permitted structure of NPCI. This process shall be as per directives of NPCI and shall include but not limited to sharing your UPI details (collected and maintained by PhonePe to provide UPI services) with NPCI and linking of default bank account / VPA to your 'UPI Number'. This would enable you to accept payments against your UPI number. PhonePe shall provide you an option to de-link the default mapping of UPI number processed on PhonePe mobile application. You further agree to receive funds from other users registered on PhonePe and consent that PhonePe will process such transactions to your linked default bank account without checking with the NPCI Mapper.

UPI Participant’s Roles and Responsibilities

  • NPCI:
    • NPCI owns and operates the Unified Payments Interface (UPI) platform
    • NPCI prescribes rules, regulations, guidelines, and the respective roles, responsibilities and liabilities of the participants, with respect to UPI. This also includes transaction processing and settlement, dispute management and clearing cut-offs for settlement.
    • NPCI approves the participation of Issuer Banks, PSP Banks, Third Party Application Providers (TPAP) and Prepaid Payment Instrument issuers (PPIs) in UPI.
    • NPCI provides a safe, secure and efficient UPI system and network.
    • NPCI provides online transaction routing, processing and settlement services to members participating in UPI.
    • NPCI can, either directly or through a third party, conduct an audit on UPI participants and call for data, information and records, in relation to their participation in UPI.
    • NPCI provides the banks participating in UPI access to system where they can download reports, raise chargebacks, update the status of UPI transactions etc.
  • PSP Bank
    • PSP Bank is a member of UPI and connects to the UPI platform for availing UPI payment facility and providing the same to the TPAP which in turn enables the end-user customers / merchants to make and accept UPI payments.
    • PSP Bank, either through its own app or TPAP’s app, on-boards and registers the end-user customers on UPI and links their bank accounts to their respective UPI ID.
    • PSP Bank is responsible for authentication of the end-user customer at the time of registration of such customer, either through its own app or TPAP’s app.
    • PSP Bank engages and on-boards the TPAPs to make the TPAP’s UPI app available to the end-user customers.
    • PSP Bank has to ensure that TPAP and its systems are adequately secure to function on UPI platform.
    • PSP Bank is responsible to ensure that UPI app and systems of TPAP are audited to safeguard security and integrity of the data and information of the end-user customer including UPI transaction data as well as UPI app security.
    • PSP Bank has to store all the payments data including UPI Transaction Data collected for the purpose of facilitating UPI transactions, only in India.
    • PSP Bank is responsible to give all UPI customers an option to choose any bank account from the list of Banks available on UPI platform for linking with the customer’s UPI ID.
    • PSP Bank is responsible to put in place a grievance redressal mechanism for resolving complaints and disputes raised by the end-user customer.
  • PhonePe (TPAP)
    • PhonePe is a service provider and participates in UPI through PSP Bank.
    • PhonePe is responsible to comply with all the requirements prescribed by PSP Bank and NPCI in relation to TPAP’s participation in UPI.
    • PhonePe is responsible to ensure that its systems are adequately secure to function on the UPI platform.
    • PhonePe is responsible to comply with all applicable laws, rules, regulations and guidelines etc. prescribed by any statutory or regulatory authority in relation to UPI and PhonePe’s participation on the UPI platform including all circulars and guidelines issued by NPCI in this regard.
    • PhonePe has to store all the payments data including UPI Transaction Data collected by TPAP for the purpose of facilitating UPI transactions, only in India.
    • PhonePe is responsible to facilitate RBI, NPCI and other agencies nominated by RBI/ NPCI, to access the data, information, systems of PhonePe related to UPI and carry out audits of PhonePe, as and when required by RBI and NPCI.
    • PhonePe shall facilitate the end-user customer with an option to raise grievance through the PhonePe’s grievance redressal facility made available through PhonePe UPI app or website and such other channels as may be deemed appropriate by the PhonePe like email, messaging platform, IVR etc.

Dispute & Grievance

PhonePe has tripartite contractual agreements with sponsor PSP Banks and NPCI and we are obligated to facilitate grievances / complaints resolution of the customers onboarded on our UPI application.

We shall be the first point of contact for all UPI related grievances/complaints for customers on- boarded by us. In case the complaint/grievance remains unresolved, the next level for escalation will be the PSP Bank, followed by the bank (where you maintain the account) and NPCI in the same order. After exercising these options, you can approach the Banking Ombudsman and / or the Ombudsman for Digital Complaints, as the case may be.

Dispute Redressal Mechanism
  • You can raise a complaint with respect to a UPI transaction, on the PhonePe app.
  • You can select the relevant UPI transaction and raise a complaint in relation thereto.
  • You can raise a complaint with PhonePe with respect to all UPI related grievances / complaints if the UPI transaction is made through PhonePe app. In case the complaint / grievance remains unresolved, the next level for escalation will be the PSP Bank, followed by the bank (where you maintain your account) and NPCI, in the same order. After exercising these options, you can approach the Banking Ombudsman and / or the Ombudsman for Digital Complaints, as the case may be.
  • The complaint can be raised for both the types of transactions i.e. fund transfer and merchant transactions.
  • You shall be kept communicated by PhonePe by means of updating the status of your complaint on PhonePe App or any other means such as Email, Telephone.
Entity Grievance Redressal Link
PSP Bank

Yes Bank

Axis Bank


NPCI https://www.npci.org.in/what-we-do/upi/dispute-redressal-mechanism

Use of Group Companies

You understand and agree that PhonePe and PhonePe Entities reserve the right to use the services of themselves to provide any of the mentioned PhonePe services to you within PhonePe Platforms.

Indemnity & Liability

In no event will PhonePe be liable for any indirect, consequential, incidental, special or punitive damages liabilities (including statutory), including without limitation damages for loss of profits or revenues, business interruption, loss of business opportunities, loss of data or loss of other economic interests, whether in contract, negligence, tort or otherwise, arising from the use of or inability to use the PhonePe UPI Facility.

You shall indemnify and hold harmless PhonePe, PhonePe Entities, its owner, licensee, affiliates, subsidiaries, group companies (as applicable) and their respective officers, directors, agents, and employees, from any claim or demand, or actions including reasonable attorneys' fees, made by any third party or penalty imposed due to or arising out of Your breach of this Terms of Use, privacy Policy and other Policies, or Your violation of any law, rules or regulations or the rights (including infringement of intellectual property rights) of a third party.


You agree that PhonePe at its sole discretion may terminate Your contract without prior notice and restrict your access to PhonePe application if We determine that your have violated the terms of use and You consent that in case PhonePe suffers losses, not limited to monetary losses, due to Your actions, We can take injunctive relief as deems necessary within the said circumstances. We may also suspend services or terminate Your contract in case of violation of User conduct of PhonePe Platforms as defined by PhonePe and PhonePe entities.

You may note that PhonePe shall retain your registration information, VPAs, transactional information or any other information that We are permitted to store as permitted under the UPI Payment System for the duration as specified in regulations or notified by NPCI from time to time even after termination of contract.

Governing Law

This agreement and the rights and obligations thereunder and the relations of the parties and all matters arising under or in connection with this Terms of Use, including the construction, validity, performance or termination thereunder, shall be governed by and construed in accordance with the laws of the Republic of India. The courts in Bengaluru, Karnataka shall have exclusive jurisdiction over all matters connected with the Services.


You understand that the terms of availing of UPI facility using NPCI Platform, PSP and PhonePe shall not create any contractual obligation against any NCPI system participants and downloading or using the PhonePe App does not automatically entitle You for PhonePe UPI facility.

We do not make any warranties and make no representation about the quality and availability of UPI facility.

We endeavor to execute and process transactions as per the defined process, however, We shall not be held responsible for any non-responsiveness, delay, failure of systems or any other circumstances that might not be in our control.

Your transaction records and other logs maintained with Us shall be final and binding as a proof of this facility and transactions.