Top News

If you make payments through UPI daily, then this news is for you. The government has made it clear that there will be no charge for transactions through UPI right now. That is, whether you give Rs 10 to the street paan vendor or make a purchase of Rs 10,000 in the mall, payment through UPI will be completely free.

It was said in a report that the government is considering imposing a charge on UPI payments of more than Rs 3,000. After this news, people's concern on social media increased that now digital payment will also become expensive. But now the Finance Ministry has clarified this.

Government's big statement - UPI is a cheap and accessible platform for everyone.
The Finance Ministry has said that to promote UPI, it will be kept cheap and within the reach of common people. Right now the government is not planning to re-implement the Merchant Discount Rate (MDR). This is the same charge that banks and payment service providers charge shopkeepers in exchange for transactions.

The use of UPI is making new records every day.

Today, about 80% of all digital payments in the country are made only through UPI. Since 2020, the figure of person-to-merchant UPI transactions has crossed Rs 60 lakh crore. With such a large number of these transactions, banks and technology companies also incur expenses in running the network.

This is the reason why some people associated with the payment industry want only a very nominal charge should be levied on large transactions like 0.3%, which is much less than the charge on debit and credit cards. Currently, an MDR of about 0.9% to 2% is levied on debit/credit card transactions.

No charge will be levied on the RuPay credit card.
The report also said that even if there is any change in the future, transactions made with RuPay credit card will continue to be exempted from MDR. That is, those who make payments through this card do not need to worry about anything.

UPI transactions being completely free is a matter of relief

At present, there is no charge on all UPI payments, whether it is person to person or payment made to the merchant. The government's focus right now is on making digital payments reach as many people as possible and promoting a cashless economy. However, some changes may be made in the future to make this entire system sustainable for a long time, but they will be done without harming the common people.

It is clear from all this that there is no need to worry for the common user at the moment. Make as many payments as you want through UPI, you will not be charged a single penny.

Disclaimer: This content has been sourced and edited from NDTV India. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.