UPI credit line: NPCI may go easy on interchange fee for transactions

Could be kept at 1-1.2% in a bid to push adoption

To increase the adoption of credit on United Payments Interface (UPI), National Payments Corporation of India (NPCI) is looking at an interchange fee for transactions lower than that for a credit-card transaction.

Sources in the know said these charges could be 1-1.2 per cent.

Fintech participants concur with the view that the interchange fee is expected to be lower than that for a credit-card transaction.

Credit-card transactions generally have an interchange fee of 1.8-2 per cent.

“The interchange basically varies by the merchant category. I believe the interchange fee for credit lines on UPI should be lower than that for