The refund timeline depends on the type of transaction. Under the RBI’s failed-transaction framework, different limits apply to UPI transfers where the beneficiary is not credited and payments where merchant confirmation is not received.
For a specified UPI fund-transfer failure, the usual auto-reversal limit is T+1 day, while the limit is T+5 days when merchant confirmation is not received after a debit. T is the date of the transaction. Compensation of ₹100 per day is provided for delays beyond the applicable limit. A successful transfer to the wrong recipient or fraud should not be treated as falling within this category.
What should you do now?
- Check the status in the app and your bank statement, and verify whether the beneficiary was credited.
- Complain to the app or bank with the UTR and timestamp.
- If the applicable period has passed, ask for a written calculation of both the reversal and compensation.
Which documents should you keep?
The UTR, debit entry, app status, merchant confirmation, and complaint number.
Avoid this mistake
Making the payment repeatedly based on a single screenshot may result in a duplicate payment; verify the status first.
A hypothetical example
In one UPI transaction, money was debited from the account but the other person did not receive it. In another situation, the merchant said that confirmation had not been received. These may fall into different failure categories; it is important to select the correct timeline before claiming compensation.
Does every UPI dispute have a T+1 refund?
No. It is important to first identify the transaction category and the reason for the failure.
Legal basis and useful source
This is general legal information. Advice may vary depending on your facts, applicable law, and state rules.