The RBI has introduced a new feature allowing users to transfer through pre-sanctioned credit lines via the UPI network. As per the RBI's notification on September 4, 2023, this development enables individuals to link their pre-approved credit lines from scheduled commercial banks to their UPI accounts, making payments seamless. Previously, UPI users could link their savings, overdraft accounts, prepaid wallets, and credit cards to the UPI system. However, this recent innovation extends the capability to utilize pre-approved credit lines for UPI transactions. Banks offer pre-approved credit lines like overdraft facilities, which you can access through UPI apps. After bank approval, you can use the sanctioned amount via UPI and settle dues by the due date. Some banks charge interest on the credit line, while others offer a credit-free period. Fees vary among banks - HDFC Bank charges interest, while ICICI Bank has a service charge above a threshold.