Will UPI Payments Become Chargeable? Who Will Pay As Per New bill And What Users Need To Know
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Thu, 6 August 2026
1 report- newsx.com04:53first to report
Will UPI payments become chargeable for large retailers? Here's what the new Bill says about MDR, who it could affect, and whether UPI users will continue to pay nothing.
Fri, 7 August 2026
4 reports- Times of India04:13
In a recent statement, Finance minister Nirmala Sitharaman emphasized that UPI transaction charges will be applicable to merchants rather than customers. She explained that any Merchant Discount Rate (MDR) imposed would be instrumental in enhancing the digital payment ecosystem. Following the passage of an amendment bill in Parliament, a committee will investigate the adjustments to the zero-MDR policy for digital payments.
- Times of India13:57
The government is expected to permit a Merchant Discount Rate (MDR) of between 0.25% and 0.4% on UPI transactions above Rs 2,000 made to businesses, while person-to-person payments are likely to remain outside the scope of the proposed levy. The proposal is not expected to affect routine purchases such as milk, vegetables, groceries or payments for auto-rickshaw and taxi services.
- livemint.com14:22
Merchant discount rate on UPI transactions: What is MDR, will customers have to pay, who bears operating costs, who invests in infrastructure, why are discussions happening now? Check top FAQs answered…
- rediff.com14:51
The Payments Council of India has confirmed that Unified Payments Interface (UPI) services will continue to be free for consumers and small merchants, despite a recent Lok Sabha Bill. This clarification addresses concerns about potential charges, emphasising that while a sustainable financial model for UPI infrastructure is being developed, transaction charges will not be passed on to users or small businesses.
Sat, 8 August 2026
8 reports- cobrapost.com07:57
The statement comes a day after the Lok Sabha passed a Bill to amend the Payment and Settlement Systems Act, 2007, which authorises the government to permit banks and other service providers to levy c
- thehindubusinessline.com12:13
PhonePe CEO confirms UPI transactions will remain free for consumers, emphasizing the need for robust fraud prevention and system resilience.
- Times of India14:07
In a press release, the Ministry of Finance has said that users will not be charged for making UPI payments, and all Person-to-Person (P2P) transactions will continue to remain free. It said that if a Merchant Discount Rate (MDR) is introduced in the future, it will apply only to a limited category of merchant transactions above a specified threshold.
- tribuneindia.com15:09
The Finance Ministry on Saturday clarified that consumers making payments through UPI will not face any transaction charges and all person-to-person (P2P) payments will continue to remain free of charge.
- thehindubusinessline.com16:00
Government confirms UPI users won't face transaction charges; any future MDR will only apply to select merchants above a threshold.
- freepressjournal.in16:55
The Centre categorically said UPI users will not pay transaction charges, while most merchant payments will also remain free. The Finance Ministry said a nominal MDR could apply only to select merchant transactions above a threshold. An NPCI-led UPI and Services Steering Committee will decide the MDR, if any, after Parliament passes the proposed amendment
- kashmirreader.com19:44
New Delhi: The government on Saturday categorically stated that consumers and small merchants will continue to enjoy free Unified Payments Interface (UPI) services to allay fears regarding the levy of charges on such transactions following the passage of a Bill to amend the Payment and Settlement Systems Act, 2007. However, nominal Merchant Discount Rate (MDR) [...]
- Times of India21:58
The government has pledged that the upcoming UPI merchant discount rate will be minimal. This fee will be applicable only to certain merchants and transactions that surpass a designated threshold. Importantly, person-to-person UPI payments will remain free for all users. This initiative is designed to enhance the sustainability of India’s digital payment ecosystem and facilitate service expansion into rural and semi-urban regions.
Sun, 9 August 2026
1 report- jagranjosh.com07:37
Government clarifies that the PSS Act amendment will not impose UPI charges on consumers. Person-to-Person (P2P) transfers remain free, and any future MDR will apply only to a limited set of high-value merchant transactions.
Mon, 10 August 2026
1 report- indiatimes.com05:16
The debate around reintroduction of merchant discount rate (MDR) on Unified Payments Interface (UPI) transactions has resurfaced after Lok Sabha passed the Taxation and Other Laws (Amendment) Bill, 2026. If implemented, the proposal is expected to restore MDR...
Tue, 11 August 2026
2 reports- indiatimes.com13:12
PayU India CEO Anirban Mukherjee said the fee should not depend on whether a payment is made online or at a store. Reaching physical merchants involves distribution costs, while online companies spend more on verifying merchants and managing risk. He said these costs broadly balance out. “I would rather use industry and merchant size than online versus offline,” he said.
- Times of India13:25
The government has clarified that UPI will continue to remain free for consumers and no transaction charges will be applicable to person-to-person payments. The government has also said that if an MDR is introduced in the future it will only be applicable to a limited category of merchant transactions.
Thu, 13 August 2026
1 report- freepressjournal.in07:08
The government is considering restoring MDR on select high-value UPI transactions or introducing a tiered incentive system to reduce its financial burden. The Finance Ministry told a parliamentary panel that the current ₹2,000-crore incentive covers only a fraction of the industry’s costs. UPI has had zero MDR since 2020 to promote digital payments.
Sun, 16 August 2026
2 reports- newindianexpress.com05:50
The impact of a possible Merchant Discount Rate (MDR) on UPI will vary across payment companies depending on their merchant base and transaction mix, rather tha
- Google News - Top Stories23:26
India built the world's biggest digital payments miracle. Now comes the bill BBC Explainer: How UPI’s free ride may hit a speed bump The Tribune Parliamentary panel for expeditious introduction of calibrated MDR on high-value transactions Deccan Herald UPI MDR benefits will depend on merchant mix, transaction value The New Indian Express Opinion: UPI Did Not Kill the Tollbooth, It Moved It News18
Thu, 20 August 2026
1 report- ianslive.in14:08UPI needs sustainable revenue model, MDR on high-value transactions a good move: Former RBI official
Mumbai, Aug 20 (IANS) UPI needs a sustainable revenue model to support continued investments in technology, cybersecurity and infrastructure, while the RBI's forward guidance on interest rates reflects concerns over inflation, G. Padmanabhan, former Executive Director of the Reserve Bank of India and former Chairman of Bank of India, said on Thursday.
Mon, 24 August 2026
2 reports- thehindubusinessline.com13:22
Explore the transformative journey of UPI over ten years, evolving from a payment tool to a cornerstone of India's economy.
- thehindubusinessline.com14:02
Explore how UPI transformed India's digital economy, enhancing financial inclusion and reshaping daily life through innovative payment solutions.
Tue, 25 August 2026
2 reports- rozanaspokesman.com02:01
Prime Minister Narendra Modi marked a decade of the Unified Payments Interface (UPI), calling its rollout ten years ago a major turning point in India's digital payments journey. Taking to X, PM Modi highlighted the platform's remarkable scale and reach as a source of pride for every Indian and invited citizens to share their personal experiences of using UPI and how it has impacted their lives, tagging the post #10YearsOfUPI.
- Times of India03:45
Prime Minister Narendra Modi marked ten years of the Unified Payments Interface, a transformative digital payment system that has reshaped financial transactions in India. UPI facilitates seamless bank-to-bank transfers via mobile, showcasing the country's commitment to digital finance. Citizens are urged to recount their journeys with the platform, celebrating its remarkable impact on everyday transactions.
Fri, 28 August 2026
1 report- medianama.com10:13
Allahabad High Court seeks RBI, NPCI response on plea for accept-or-decline controls on incoming digital payments.
Thu, 3 September 2026
1 report- Times of India05:15
The potential introduction of AI agents in India for autonomous UPI payments marks a significant advancement in transaction technology. Users would enjoy the convenience of hands-free purchases while having the ability to establish preset instructions and budget limitations. Proposed safety measures, including identity checks and spending restrictions are currently under consideration, reflecting a wider global trend towards automated payment systems.
Mon, 7 September 2026
2 reports- Channel News Asia22:00
A change to India’s payments law means merchants could be charged a fee for certain real-time payments. Businesses and experts tell CNA that even modest fees could squeeze profits.
- Channel News Asia22:00
A change to India’s payments law means merchants could be charged a fee for certain real-time payments. Businesses and experts tell CNA that even modest fees could squeeze profits.
Tue, 8 September 2026
1 report- webindia123.com11:29
Wed, 9 September 2026
1 report- Times of India04:31
India is preparing a framework for artificial intelligence agents to make UPI payments. This new system will allow AI agents to transact without requiring human approval for every purchase. The proposed Unified Agent Protocol aims to create a common system for AI agent authorization. Low-value, frequent purchases like groceries are expected to be among the first use cases. This move positions India as a leader in agentic payment infrastructure globally.
Thu, 10 September 2026
2 reports- Channel News Asia12:06
- freepressjournal.in16:46
Navi UPI partners with IndusInd Bank to introduce a new payment switch, strengthening transaction reliability, resilience and scalability as digital payments grow.
Fri, 11 September 2026
3 reports- indiatimes.com01:00
The issuing bank would retain 40% of the fee, sources said. Third-party application providers such as PhonePe or Google Pay, and the acquiring bank would take 30% each. On a 40 bps MDR, that works out to roughly 16 bps for the bank and 12 bps each for the app and the acquirer. One basis point equals 0.01%, so a 40 bps MDR translates to a fee of 0.4% on the transaction value.
- Times of India10:36
UPI now dominates Indian merchant payments, significantly reducing card usage. Debit cards are primarily used for cash withdrawals, not shopping. Credit cards are specializing in larger purchases and e-commerce transactions. RuPay credit cards can now link directly to UPI apps. The QR code scan is becoming the default checkout method for everyday purchases.
- livemint.com11:31
RBI deputy governor S. C. Murmu said automation cannot dilute lenders’ accountability, while payment systems must strengthen resilience, fraud controls and customer protection.
Tue, 15 September 2026
4 reports- indiablooms.com08:58
UPI payments above Rs 2,000 explained: Find out whether users will be charged, what the new government notification says and how MDR could affect merchant payments. | One of India's leading Digital News Agency offering Breaking News round the clock. Why not read our informative news portal today.
- indiatimes.com10:47
Ashneer Grover has called any charge on UPI transactions above Rs 2,000 plain tax collection, days after the government exempted only smaller payments from bank charges and cleared a legal path for a Merchant Discount Rate on larger UPI transactions.
- Times of India13:26
The MDR will be effective from October 15, 2026. . This timeline gives acquiring banks, payment aggregators, fintech applications, and corporate accounting platforms adequate lead time to update their software engines and billing systems.
- Times of India14:11
Merchant Discount Rate (MDR) is essentially a fee that a merchant incurs when accepting payments for goods or services through credit or debit cards. It is important to note that person-to-person transactions will continue to be free with no MDR applicable.
Wed, 16 September 2026
8 reports- Channel News Asia04:20
- businesstoday.in06:16
In an exchange filing issued on September 15, Paytm said NPCI has introduced an MDR of up to 0.4% on UPI P2M transactions exceeding ₹2,000. The company said the move would generate additional revenue from several merchant transactions that were previously processed without an MDR.
- businesstoday.in06:21
Nithin Kamath’s remarks came after the government introduced a 0.4 per cent fee on UPI payments of more than ₹2,000 made to merchants from October 15.
- Channel News Asia06:39
- Times of India06:44
The new MDR will take effect from October 15. However, UPI payments between individuals, including transfers made to friends, will continue to remain outside the charge. Auto-debits and UPI mandates will also not attract MDR.
- businesstoday.in06:52
Given outsized UPI beneficiary volume share, YES Bank is seen as the standout beneficiary, with 5-10 per cent of PPOP and 6-12 per cent of PBT impact, Citi said in a note.
- indiatimes.com07:45
The NPCI has unveiled a new merchant discount rate that introduces a 0.4% fee for UPI person-to-merchant transactions exceeding Rs 2000. This policy change has elicited mixed reactions from industry leaders. While some view it as a step toward enhancing financial sustainability within the digital payments landscape, others raise concerns about its potential effects on investment and trading activities.
- Times of India13:59
Recent updates to UPI regulations have introduced a Merchant Discount Rate for certain transactions. While consumers will not incur any fees for their UPI payments, merchants will face a 0.4% charge on transactions above two thousand rupees. However, person-to-person UPI transfers and payments from small merchants continue to be free. This initiative is designed to foster sustainability and innovation in the digital payment ecosystem.
Thu, 17 September 2026
5 reports- Times of India04:54
The fee on larger UPI merchant payments is modest. Its size is not what should worry us.
- Al Jazeera English11:18
It's the end of an era for India's popular instant digital payments system, which has been free of charge until now.
- businesstoday.in12:27
Government sources said GST will apply to the MDR charged on eligible UPI transactions, but there is no separate GST on UPI payments.
- ibcworldnews.com17:44
URL changednow www.ibcworldnews.com/news/parameshwara-opposes-upi-merchant-charges-above-%e2%82%b92000
BENGALURU CH NEWS Deputy Chief Minister Dr G Parameshwara has opposed the introduction of a 0.4% Merchant Discount Rate (MDR) on specified UPI merchant tr
- Times of India21:31
The government is currently in talks with payment platforms to ensure that merchant fees do not get passed on to consumers. Starting from October fifteenth, officials will closely monitor this situation to protect consumers. They also reassured that merchants will not incur additional GST costs once the MDR is implemented. This initiative aims to support more domestic players in the market and encourage innovation.
Fri, 18 September 2026
3 reports- newstodaynet.com06:47
NEW DELHI: The Centre has rejected allegations that the decision to introduce a Merchant Discount Rate (MDR) on certain high-value UPI transactions was taken under pressure from foreign governments or payment companies. The Finance Ministry’s Department of Financial Services said the allegation of external influence was false and misleading, maintaining that India’s UPI policy was
- thehindubusinessline.com13:42
Proposed 0.4% UPI MDR could cost India's FMCG sector ₹2,300 crore annually, prompting calls for B2B exemptions.
- thehindubusinessline.com14:38
D2C brands and brokers express concerns over proposed UPI MDR, fearing significant impacts on margins during the festive sales season.
Sat, 19 September 2026
2 reports- newindianexpress.com13:03
Maharashtra Navnirman Sena president Raj Thackeray on Saturday termed the Centre's decision to impose fees on specified UPI transactions as a "digital trap" for
- Times of India15:30
The NPCI framework and the FAQs issued with it do not stipulate that multiple payments relating to a single bill must be clubbed together. Such a restriction, if in place, could prevent businesses from breaking up larger payments into multiple transactions of Rs 2,000 or less.
Sun, 20 September 2026
1 report- theshillongtimes.com01:15
Mon, 21 September 2026
1 report- rediff.com04:13
'These limits will change. Very soon restrictions, restrictions will come.'
Tue, 22 September 2026
1 report- Times of India02:56
Finance Minister Nirmala Sitharaman addressed concerns over the Merchant Discount Rate charges, emphasizing that UPI users will face no additional financial burden. These charges apply solely to payment operators and do not treat consumers as taxpayers. The revised rule targets only high-value Person-to-Merchant UPI transactions, meaning most users will transact without incurring extra fees. The government has expressed its commitment to this decision, ruling out any changes.
Wed, 23 September 2026
1 report- deccanchronicle.com11:26
Traders Warn Proposed Charge On UPI Transactions Above Rs 2,000 Could Raise Consumer Costs
Thu, 24 September 2026
3 reports- newsx.com10:01
Know why traders are protesting, whether shops will stop accepting UPI payments, and what the move means for customers and digital payments.
- South China Morning Post10:02
For millions of Indians, buying a cup of chai or groceries from roadside vendors has come to mean reaching for their phones rather than wallets – a habit made possible by a system that has so far charged consumers nothing for such everyday transactions. Now, a decade after the government launched the Unified Payments Interface (UPI), India is asking some merchants to pay for the hugely popular system – raising questions over whether it can preserve the low-cost model that drove its mass...
- freepressjournal.in11:02
The government is likely to review petrol pump dealers’ demand for exemption from Merchant Discount Rate (MDR) on select UPI transactions. The All India Petroleum Dealers Association has sought relief, arguing fixed fuel margins make additional charges burdensome. The new UPI MDR framework is scheduled to take effect from October 15
Fri, 25 September 2026
1 report- Times of India07:07
Nirmala Sitharaman clarified that there will be no Merchant Discount Rate (MDR) charged by the government on UPI transactions. She reassured consumers that for transactions over Rs 2,000, the MDR will be covered by merchants and banks. According to NPCI’s Dilip Asbe, a significant 75 percent of UPI transactions remain unaffected by MDR. Most fees originate from larger businesses that incur higher credit card charges.
Sun, 27 September 2026
1 report- Times of India09:44
Mobile phone retailers across India are set to observe a 'No UPI Day' on October 2. This protest arises against the proposed 0.4% Merchant Discount Rate (MDR) on UPI transactions over Rs 2,000. The All India Mobile Retailers Association highlights additional costs that may impact small retailers significantly. The government insists consumers will not bear the MDR, which will apply starting October 15.
Wed, 30 September 2026
1 report- indiatimes.com12:35
The All India Mobile Retailers Association (AIMRA) has announced a nationwide 'No UPI Day' on October 2, 2023, to protest against the proposed Merchant Discount Rate (MDR) for UPI transactions exceeding Rs 2,000, citing concerns for small businesses.
Sat, 3 October 2026
1 report- Times of India04:34
UPI has recorded significant transaction growth, processing 145 billion transactions in the first half of the financial year. The value of these transactions increased to Rs 177 lakh crore, reflecting a notable rise. A new merchant discount rate will be introduced on October 15, applying to high-value UPI transactions. Most everyday merchant transactions will remain free, with certain services facing a flat fee structure.
Tue, 6 October 2026
1 report- indiatimes.com02:30
The industry has scope to increase soundbox deployments from about two crore to five crore over time, a top official at the National Payments Corporation of India (NPCI) said, requesting anonymity.
Mon, 12 October 2026
1 report- thehindubusinessline.com14:43
NPCI says no deferment for MDR rollout amid Supreme Court affidavit query, as legal questions and governance concerns loom over UPI charges.
Tue, 13 October 2026
1 report- morungexpress.com12:30
Wed, 14 October 2026
1 report- businesstoday.in08:37
The report found that UPI is the most-used payment method across five of six spending categories. It is used by 71 per cent of respondents for e-commerce purchases, 54 per cent for eating out and travel, 53 per cent each for fuel and transport, and medical and pharmacy expenses, and 49 per cent for groceries.
Thu, 15 October 2026
2 reports- thehitavada.com06:00
A TEMPORARY relief has come this festive season for UPI (Unified Payments Interface) users as the Government has deferred the Merchant Discount Rate (MDR) fee of 0.4 per cent on transactions over Rs 2,000 till the festivals are over. The National Pa
- Channel News Asia10:20
The charges, delayed until after Deepavali, could prompt some retailers to encourage other payment methods, even as experts argue they are needed to sustain the fast-growing network.