Page 4 - Upi

MPs raise concern over 0.4% UPI fee on payments at Parliament panel meet

MPs, mostly belonging to the Opposition, on Wednesday expressed concern over the government's decision to levy a fee on UPI payments above Rs 2000 to merchants, claiming that the entire population of the country would be affected due to the "anti-people" move. Chairman of the Parliamentary Standing Committee on Finance Bhartruhari Mahtab said that some MPs raised the issue at the meeting and said that it may be taken up at the next meeting of the panel. RSP MP NK Premchandran, who is a member of the committee, said that the entire population of the country would be affected by the government's decision to levy a fee on payments of above Rs 2000 to merchants. "It is a completely anti-people decision," Premchandran said. Ending nearly six years of fully free UPI payments, the government on Tuesday introduced a 0.4 per cent fee on transfers worth more than Rs 2,000 made to merchants through UPI from October 15, while explicitly ring-fencing everyday person-to-person transactions as we

'Tax maximisation' or a 'much-needed step'? Verdict split on UPI MDR

UPI MDR has sparked a debate among major fintech players, with some calling it necessary for sustainability while others question the cost burden on merchants and businesses

UPI fee: Why government is putting a price on big merchant payments

The government is putting a price for merchants using its flagship digital payment network to accept large transactions - a shift that follows years of warnings from the payment industry that the annual subsidy budgeted for the Unified Payments Interface (UPI) never came close to covering the real cost of running it. From October 15, a 0.4 per cent Merchant Discount Rate (MDR) will apply to person-to-merchant UPI payments above Rs 2,000. The charge will be paid by merchants, not consumers, and will be capped at Rs 300 for transactions of Rs 75,000 or more. Payments between individuals, as well as the vast majority of everyday merchant payments, will remain free. The National Payments Corporation of India, which operates the UPI network, said the revenue will support investment in infrastructure resilience, cybersecurity, fraud prevention, innovation and customer service. "The MDR is distributed only amongst the UPI ecosystem, to further invest into infrastructure resilience, ...

UPI MDR explained: How new charges compare with debit, credit cards

Credit cards can cost merchants 1.5-2.5%, while debit cards can cost up to 0.9%; new UPI MDR is capped at Rs 300

Run a small shop? How to check whether UPI MDR applies to you

UPI payments above ₹2,000 will attract a merchant fee for eligible businesses from October 15. Here's how small shopkeepers can check if the new MDR rules apply to them

Paytm, Mobikwik rally up to 7% as NPCI levies charge on UPI transactions

Paytm shares rallied 7 per cent to a fresh 52-week high of ₹1,856.50 on the BSE. Mobikwik stock rose by 6 per cent to ₹214. However, Pine Labs slumped 6 per cent to ₹182 per share.

RBI backs MDR on large-value UPI transactions, says users will pay no fee

In a post on X, the central bank said the move would help UPI continue to scale and innovate while serving consumers and businesses across the country

0.4% MDR kicks in from October 15 for ₹2,000-plus UPI payments

Sources stress MDR is not a tax on UPI, since the fee is distributed among participants in the payments chain rather than accruing to the government

Businesses divided on UPI MDR; retailers wary, quick commerce unfazed

Distributors flag concerns over the new UPI merchant charges, while quick-commerce firms expect limited impact as most transactions remain below the Rs 2,000 threshold

Only 17% merchants willing to bear 0.4% MDR on UPI payments: Survey

LocalCircles survey finds 41% of merchants unwilling to bear any MDR on UPI payments above Rs 2,000, while 9% do not accept UPI payments

Next phase for UPI

Modest charges will enable healthy growth

Banks' panel to decide on UPI merchant charges on transactions above ₹2,000

A panel comprising representatives of banks, service providers and various associations would soon take a call on charges to be levied on UPI payments above Rs 2,000 to merchants. The UPI & Services Steering Committee has 22 members, including Indian Banks' Association (IBA) and Payments Council of India (PCI). According to sources, the committee would soon take decision on Merchant Discount Rate (MDR) on UPI transaction above Rs 2,000 based on various factors including self-sustainability and market expansion. For example, merchant charge in Brazil's PIX ecosystem is around 0.33 per cent, while in China, such charge is 0.40 per cent. The government on Monday said that UPI transactions, including through RuPay debit cards, up to Rs 2,000 from person to merchant are free. All person-to-person UPI transactions will also continue to be free. As per a gazette notification dated September 14, no bank or system provider would impose, whether directly or indirectly, any charge on a ...

NPCI consults banks, payment firms on fees for large UPI payments

The consultations ‌come after India changed its payments legislation on Monday, allowing firms to charge transactions of more than ₹2,000

UPI payments up to ₹2,000 to remain free: What it means for users

The Centre has said banks and payment system providers cannot charge for UPI transactions up to ₹2,000 or payments made through RuPay-powered debit cards

UPI without opening your app? How Tap & Pay changes payments at checkout

You can soon make UPI payments by simply tapping your phone at a payment terminal — even without mobile internet.

UPI's AI protocol temporarily on hold as NPCI builds safeguards

The focus is on user protection, mapping actual risks from potential liabilities when agents go rogue, and governance standards around evolving technologies like these

Goyal urges Brics to trade in local currencies, link payment systems

The commerce minister also called for easier market access, simpler regulatory procedures and deeper cooperation in digital trade, critical minerals and resilient supply chains

SBI to use UPI data to lend to small businesses without GST registration

India's largest lender is developing a solution that will use UPI transaction data as a proxy for sales to extend loans to small businesses outside the GST system

UPI Tap and Pay explained: How it works, key features, and its benefits

Digital payments are getting a new option. Here's what RBI's new UPI Tap and Pay feature is all about, how it works and what it could mean for users:

Paytm soars 4% in weak market, nears new high; stock up 90% from March low

Jefferies raises Paytm's earnings estimates for FY28-29 by 20-25 per cent to factor in 25bps MDR on UPI and raises the price target to ₹2,100 (from ₹1,600).