Government will introduce 0.4% UPI merchant fee from October 15
Starting October 15, the government will introduce a 0.4% fee on UPI payments above ₹2,000 made to merchants, ending nearly six years of free digital payments for businesses.
opposition MPs expressed concern, warning that it could affect the entire population of the country if shops pass on the extra cost.
RSP MP N.K. Premchandran, who is a member of the committee, called the move "It is a completely anti-people decision," and said the entire population of the country would be affected by the government's decision to levy a fee on payments of above ₹2,000 to merchants.
Personal UPI transfers remain free
If you're just sending money to friends or making smaller purchases, nothing changes, personal UPI transfers stay free with no monthly limits.
The new fee only applies when paying merchants for goods or services over ₹2,000, so your everyday UPI use is safe for now.