The present study examines the effect of induced magnetic field and convective boundary condition on magnetohydrodynamic (MHD) stagnation point flow and heat transfer due to upper-convected Maxwell fluid over a stretching sheet in the presence of nanoparticles. Boundary layer theory is used to simplify the equation of motion, induced magnetic field, energy and concentration which results in four coupled non-linear ordinary differential equations. The study takes into account the effect of Brownian motion and thermophoresis parameters. The governing equations and their associated boundary conditions are initially cast into dimensionless form by similarity variables. The resulting system of equations is then solved numerically using fourth order Runge-Kutta-Fehlberg method along with shooting technique. The solution for the governing equations depends on parameters such as, magnetic, velocity ratio parameter B, Biot number Bi, Prandtl number Pr, Lewis number Le, Brownian motion Nb, reciprocal of magnetic Prandtl number A, the thermophoresis parameter Nt, and Maxwell parameter β. The numerical results are obtained for velocity, temperature, induced magnetic field and concentration profiles as well as skin friction coefficient, the local Nusselt number and Sherwood number. The results indicate that the skin friction coefficient, the local Nusselt number and Sherwood number decrease with an increase in B and M parameters. Moreover, local Sherwood number -ϕ 0 (0) decreases with an increase in convective parameter Bi, but the local Nusselt number -θ 0 (0) increases with an increase in Bi. The results are displayed both in graphical and tabular form to illustrate the effect of the governing parameters on the dimensionless velocity, induced magnetic field, temperature and concentration. The numerical results are compared and found to be in good agreement with the previously published results on special cases of the problem.