How is UPI lite different from UPI?

UPI allows money transfer directly from your bank account for all transaction types, up to ₹1,00,000 per day, requiring a UPI PIN for every transaction. UPI Lite is designed for small-value transactions, acting as an on-device wallet that must be preloaded with funds up to ₹5,000. It allows faster payments of up to ₹1,000 per transaction without needing a UPI PIN, simplifying daily microtransactions.