Ghaziabad traders weigh blocking UPI over ₹2,000 after NPCI MDR
Some traders and associations in Ghaziabad are contemplating action starting October 15, and the Ghaziabad diesel-petrol dealer association said it will not accept payments of over ₹2,000 through UPI from that date.
This move comes after NPCI announced a 0.4% fee (MDR) on certain Person-to-Merchant (P2M) UPI payments above ₹2,000.
Customers won't be charged, but shopkeepers say they can't afford to absorb the extra cost.
Merchants say fee could raise prices
Local business owners like Sanjay Bindal and Rajnish Bansal say the new fee could force them to raise prices or cut discounts just to stay afloat.
Even fuel pumps are joining in, with their association saying they'll also stop taking UPI for big transactions.
Many merchants feel this added expense makes it tougher to compete with online stores and slows down the push toward a cashless economy.