Chaos as UPI glitch halts transactions across state | Hyderabad News

Hyderabad: The disruption of UPI services caused widespread inconvenience across the state, affecting business transactions and leaving customers scrambling for cash. The issue, which began around 10:30 am and continued beyond 2:00 pm, resulted in frustration, particularly in e-commerce where cash-on-delivery (COD) payments led to conflicts.
Users encountered errors like “transaction failed” or “server down” while attempting payments. In many cases, funds were debited but merchants did not receive them. Social media platforms were flooded with complaints and screenshots of failed transactions. “I struggled to pay five different merchants, including a grocery store and an electric shop. Without cash, I had to return home to fetch it and make multiple payments,” said K Venkateshwar Rao, an IT professional from Manikonda.
Small businesses and street vendors who rely heavily on UPI payments were hit hard, turning away customers or asking for cash. Grocery shops and food delivery services also reported delays in processing orders.
GovT employee Bala Swami recounted a similar ordeal during his grocery run. “It took over five attempts to make one payment. Many other customers faced the same issue, creating a crowd at the payment counter,” he said. Customers with net banking resorted to this alternative for payments.
At restaurants, the UPI disruption forced patrons to seek nearby ATMs, leaving their companions waiting to settle bills. “Many diners relying on digital payments were stranded without cash,” said T Sampath, Chapter Head of the National Restaurants Association of India, Hyderabad.
In e-commerce, COD customers often pay via UPI after receiving products. Unaware of the disruption, many were left cashless, leading to arguments with hurried delivery personnel.