UPI gets 3 new features: Face ID for PIN, cash withdrawal at Micro ATMs and more

Mumbai: Government of India introduced three new features for the Unified Payments Interface (UPI), aiming to simplify transactions and expand financial inclusion.

The announcements were made on Tuesday by Shri M. Nagaraju, IAS, Secretary, Department of Financial Services (DFS), Ministry of Finance, at the Global Fintech Festival (GFF) 2025 in Mumbai.

What are the three new UPI features introduced:

On-device biometric authentication for UPI

Users will now be able to authenticate UPI payments using their smartphone’s built-in biometric features such as fingerprint or face unlock, instead of manually entering the UPI PIN.

This feature is optional and will be available to users who choose to opt in.

The goal is to offer a faster, more seamless, and secure payment experience.

Aadhaar-based face authentication for UPI PIN setup

A new method for setting or resetting UPI PINs has been introduced using Aadhaar-based facial authentication.

This eliminates the need for debit card details or OTPs and is particularly helpful for first-time users, senior citizens, and those without access to debit cards.

The system uses UIDAI’s FaceRD app to conduct secure Aadhaar-linked facial verification.

Initially available for PIN setup/reset, the feature is expected to be extended to UPI transactions in future updates.

Cash withdrawal via UPI at Micro ATMs

UPI is now being integrated as a new mode for cash withdrawals at Micro ATMs, particularly at UPI Cash Points operated by Business Correspondents.

Speaking at the event, DFS Secretary M. Nagaraju emphasised that these upgrades reflect the government’s commitment to making digital payments more secure, user-friendly, and accessible to all sections of society.