Update on Standardized UPI Handles at Kotak Securities

SEBI has recently issued a circular titled “Adoption of Standardized, Validated, and Exclusive UPI IDs for Payment Collection by SEBI Registered Intermediaries” (available here)

This circular introduces an industry-wide framework for how brokers and other registered intermediaries should receive UPI payments from investors.

Below is a simple explanation of what the circular states and how Kotak Securities is implementing it.

What the SEBI circular says

SEBI has mandated that all registered intermediaries adopt a standardized UPI ID structure for collecting funds from investors.

The objective of this framework is to: -Create a uniform UPI handle format across the industry

• Prevent confusion caused by lookalike or unofficial payment handles
• Ensure that every investor sees clear and verified information while making a payment
• Bring consistency in how UPI payments are validated and processed

To achieve this, SEBI has introduced an updated UPI structure that includes:

1. A category code before the ‘@’ This code identifies the type of intermediary:

• brk → Brokers
• mf → Mutual Funds

Since Kotak Securities falls under the broking category, our UPI IDs will include “.brk”.

2. Valid handle - To the right of ‘@’, you’ll see the exclusive handle @valid, followed by the bank name. For example:

• merchant.brk@validbankname
• merchant.xyz.brk@validbankname

3. A confirmed indicator on QR/UPI screens

All official QR codes will display the white thumbs-up icon inside a green triangle, which helps users identify a standardised, SEBI-aligned handle.

How Kotak Securities is implementing this

We have already begun adopting this new standardized UPI format.

Phased rollout (current status)

• The new @valid UPI handles have been introduced and are being rolled out gradually.
• During this transition period, both the old and new UPI handles will remain active.
• This ensures continuity and avoids any disruption in payment flows.
• The new UPI handles will be fully operational from 9th December 2025. After this date, all UPI payments routed through the app/website will follow the updated standard.

Do customers need to do anything?

No. Nothing changes for you.

• You can continue adding funds exactly the way you do today.
• Your experience on the Kotak Securities app or website remains the same.
• Payments will automatically be routed to the correct handle.
• You do not need to update anything or manually change any UPI IDs.

This update happens on our systems internally and doesn’t require any action from your side.

Making safe payments

To ensure your transfers always reach the correct destination:

• Use the Deposit option available on the Kotak Securities app or website.
• Do not initiate payments directly from external UPI apps like Google Pay, PhonePe, or Paytm, as these transfers will fail.
• Identify authentic UPI IDs by looking for the standardised format and the white thumbs-up icon inside green triangle (fully applicable from 9th December 2025).

We will continue to keep your payment experience smooth and secure throughout this transition. For any further information, please contact our support team.