How does UPI dispute redressal mechanism work?

The UPI dispute redressal mechanism is a tiered system managed by the National Payments Corporation of India (NPCI). A user typically raises a complaint first through their UPI app, which has a set window to investigate. If unresolved, the complaint is escalated to the Payment Service Provider (PSP) bank. If the issue remains complex or unresolved, NPCI steps in for final arbitration and resolution by reviewing technical logs and auditing interbank messages.