To promote mobile banking facility, the Reserve Bank of India has decided to dissolve the upper limit of transaction from the facility. The banks can now set individual upper limit for the transactions on their own.

Till now a customer was allowed to transact upto Rs. 50,000 per day through this facility. The facility is operated by the National Payment Corporation of India (NPCI).

It is expected that Mobile Banking facility will soon be used for merchant payments.

The General Manager of Alternate Channels and New Initiative Department, Union Bank of India, Mr. Lalit Sinha said "A few banks are in the testing phase for this and should be rolling it out soon. So, the RBI's move has come at the right time. We will do our own risk assessment and have a reasonable limit."