New UPI regime - Additional Compliance requirements - Do you know?

Source: www.freepik.com

SEBI has issued a circular dated 11th Jun 25 ( vide circular number: SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2025/86), in which SEBI has introduced new UPI regime for SEBI intermediaries including research analyst.

Dear RAs, As you are already in process of making New UPI ids as per BSE SoP & guidelines. BSE has also conducted webinars in this regard. These webinars and SoP only specify the procedure of creating New UPI ids. This is one of the key process in UPI regime - to create new UPI Ids.

Further, as you know that it is mandatory to create new UPI id irrespective of fact whether you are currently using the UPI Ids or not. For the UPI Id related requirements you can refer to our another article where we have explained the timeline and use of UPI Ids. Secure UPI - Is it mandatory for SEBI research analysts & Investment advisors?

What are the two additional compliance requirements in UPI Id regime?

Apart from mandatory creation of UPI Ids, SEBI has also asked the SEBI intermediaries to comply with these two requirements

1. Create investor awareness about new payment handles and “SEBI Check" functionality

2. Update the website with relevant FAQ regarding use of new UPI Ids

Requirement 1: Creating Investor awareness

The research analyst, once they have acquired the new UPI Ids, have to create awareness campaign for their investors/ clients about the use of new UPI Ids and "SEBI Check" functionality. It means, they need to communicate to their Investors/ Client about new UPI Ids. Additionally, they need to make investor/client aware about what must be checked to ensure they are making the payment on right UPI Id/ QR code.

The awareness campaign can be through modes like

SMS

Email

Social Media Posts

Audio- Visual messages

Examples of Digital communications campaign

• "We have a validated UPI ID for payment, please pay us at <<New UPI ID>>."

• "To make your payments secure, we got a validated UPI handle <<New UPI ID>>."

Examples of print communications campaign

• "We are using a validated UPI ID for payment, please prefer to pay us at <<New UPI ID>>."

• "Securities Market has validated UPI IDs, please prefer to use them making your payments secure. Click here for more details."

• "The market now has new validated and exclusive UPI IDs, visit our website to know more."

Requirement 2: Update on the Website

Research analysts have to update their websites and include clear and prominent display about the New UPIs and relevant FAQs.

This requirement is aimed at empowering investors with detailed information about the presence of unique and secured UPI handle for payments to intermediaries

Research analyst have to update the FAQs related to New UPI Ids on their website. The sample FAQs are given in the circular which are mentioned here for quick access. These are sample FAQs which Research analyst can use verbatim. However in case RA want to add more FAQs to list, RA can use additional FAQs.

Sample FAQs to be displayed on the website

Q. Is it compulsory for the investors to use the new handle only?

Ans. The investors can choose their preferred mode of payment, such as UPI, IMPS, NEFT, RTGS, or Cheques. If an investor opts to use UPI for the payment to registered intermediaries, then they have to do so only using the new UPI IDs allotted to registered intermediaries.

Q. What should I check while making payment using the new UPI IDs/ QR Code?

Ans. Investors need to keep following things into consideration:

1. The UPI ID should properly show the name of the intermediary, followed by the short abbreviation of their category for example “brk” for Brokers, “mf” for Mutual Funds to the left of the “@” character.

2. On the right side of the “@”, the new and exclusive handle “@valid” should be present, followed by the bank name.

3. On the confirmation screen, the app should show a white thumbs-up icon inside a green triangle.

4. The QR code generated using the utility will have a white thumbs-up icon inside a green triangle. It will also display the UPI ID just below the QR code.

Q. Do investors also need to obtain new UPI handles to transact in the securities market?

Ans. No, the new UPI IDs are only for intermediaries to obtain and investors can continue to use their existing UPI IDs.

Q. Whom to approach if my transaction/ payment fails with the new UPI ID?

Ans. The secure validated UPI ID of intermediaries will use the same banking channel as the earlier generic UPI handles. In case of any technical difficulty, investors are requested to approach their respective bank.

Source: SEBI vide circular SEBI/HO/DEPA-II/DEPA-II_SRG/P/CIR/2025/86 dated 11th June 25.

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