New Delhi, May 30 -- National Payments Corporation of India (NPCI) has released a new circular to deal with handling of deemed approval status in UPI for peer to merchant transactions where acquiring payment service provider (PSP) and merchant bank are the same.

In case of peer to merchant (P2M) transaction where merchant bank and acquiring PSP is same, UPI will consider transaction status 'deemed acceptance' as success in online and pass the response to the payment service providers. There will be no change in the back-office system for 3 party deemed approved transactions.

The revisions in rules are supposed to improve the customer experience and reduce customer complaints, reads the circular. NPCI has urged the banks and payment serv...