Encryption is most effective way to achieve data security. This is done by converting the data into cipher text. The existing way of doing this was using Armstrong number. Since there are few Armstrong numbers therefore a crypt-analyst can easily find the key. In this paper, we are proposing a new algorithm for encryption technique, UPMM algorithm, which is applied on ASCII value of data. ASCII values are encrypted using a key involving Palindrome numbers and unique alphanumeric id, which is also converted into ASCII value to provide authentication over the network. This paper gives a technique to send data over the network in set of three keys. Normally a crypt-analyst can easily find out the key however in this approach a mixture of palindrome number and matrix multiplication is used for encrypting the data. In the same way decryption will also be done at receiver's side by using inverse of encoding matrix. © 2014 IEEE.