Archive · 16 Sep 2026
Finance Ministry Says UPI Users Avoid Fees, Merchants Face Charges
People can still use UPI to send money and pay in shops without paying a transaction fee.
They can also scan UPI QR codes as before.
The new rule mainly changes charges for merchants.
A merchant is a business receiving a payment.
Merchants may be charged when they receive more than Rs 2,000 through UPI.
The customer does not pay this charge directly.
Everyday digital payments remain free for users.
The Finance Ministry said the revised framework focuses on certain merchant transactions.
UPI users will not pay transaction fees for sending money or making everyday digital payments.
Customers can continue transferring money, paying at shops, and scanning UPI QR codes without direct charges.
The revised framework changes how certain merchant transactions are charged.
Merchants receiving payments through UPI face a charge for transactions above Rs 2,000.
The Finance Ministry said the changes primarily affect big-ticket merchant payments, not ordinary users.
- Who
- The Finance Ministry, UPI users, and merchants.
- What
- A revised UPI framework changes charges for certain merchant payments above Rs 2,000, while users continue paying no direct transaction fee.
- Where
- Payments made through the Unified Payments Interface, including at shops and via UPI QR codes.
- Why
- The revised framework changes how certain merchant transactions are charged.
- User transaction fee
- UPI users can continue using the system without paying a transaction fee.
- Merchant charge
- Merchants face a charge for receiving UPI payments above Rs 2,000.
- Affected payments
- The change primarily concerns certain merchant transactions.
- Money transfers
- Users can continue transferring money without a direct charge.
- Shop payments
- Customers can continue paying at shops without a direct charge.
- QR payments
- Scanning a UPI QR code remains available without a direct customer charge.