{"id":892723,"date":"2026-09-15T09:34:09","date_gmt":"2026-09-15T09:34:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/892723\/"},"modified":"2026-09-15T09:34:09","modified_gmt":"2026-09-15T09:34:09","slug":"upi-payments-up-to-rs-2000-rupay-debit-card-payments-to-remain-free-says-centre","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/892723\/","title":{"rendered":"UPI payments up to Rs 2,000, RuPay debit card payments to remain free, says Centre"},"content":{"rendered":"

The Union government on Monday said that banks and system providers cannot charge fees<\/a> on Unified Payments Interface transactions of up to Rs 2,000 and payments made using RuPay debit cards.<\/p>\n

The Union Ministry of Finance issued the notification under Section 10A of the Payment and Settlement Systems Act, 2007.<\/p>\n

In 2025-\u201926, transactions <\/a>exceeding Rs 2,000 accounted for just 4% of person-to-merchant UPI payment, The Indian Express reported. However, these transactions represented nearly two-thirds of the total value of person-to-merchant UPI payments.<\/p>\n

Parliament passed the<\/a> 2026 Taxation and Other Laws Amendment Bill in August, allowing banks and other service providers to levy charges on payments through UPI and RuPay debit cards.<\/p>\n

The legislation amended the 2007 Payment and Settlement Systems Act, leading to fears that merchants, who would face a Merchant Discount Rate, would pass off the cost to consumers in the future.<\/p>\n

Merchant Discount Rate is a fee charged to businesses by banks to cover the costs of processing transactions. The rate typically ranges from 1% to 3% of the transaction value for credit card payments and can be up to 0.9% for debit card transactions.<\/p>\n

However, the finance ministry had later clarified that consumers making UPI payments will not face any transaction charges. \u201cAll person-to-person transactions will continue to be free of charge,\u201d it had stated.
It had also said that only a limited set of merchant transactions will attract the Merchant Discount Rate. The charges will apply \u201cabove a certain threshold and at a nominal rate\u201d, it added.<\/p>\n

Written by Anamika Pathak. Edited by Neerad Pandharipande.<\/p>\n","protected":false},"excerpt":{"rendered":"The Union government on Monday said that banks and system providers cannot charge fees on Unified Payments Interface…\n","protected":false},"author":2,"featured_media":892724,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[64,63,462126,63922,1209,203,462127,462128,462125,105,209,13016],"class_list":["post-892723","post","type-post","status-publish","format-standard","has-post-thumbnail","category-mobile","tag-au","tag-australia","tag-charges-on-upi-payments","tag-debit-cards","tag-india","tag-mobile","tag-person-to-merchant-payments","tag-rupay-debit-cards","tag-system-providers","tag-technology","tag-upi","tag-upi-payments"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/892723","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=892723"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/892723\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/892724"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=892723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=892723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=892723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}