UPI to Charge 0.4% on Merchant Payments Over ₹2,000

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AI-generated summary of the coverage listed below: Starting October 15, 2026, India’s Unified Payments Interface (UPI) will impose a 0.4% Merchant Discount Rate (MDR) on transactions exceeding ₹2,000. The fee applies only to merchant payments, while person‑to‑person transfers remain free. The change, announced by the National Payments Corporation of India, aims to regulate high‑value payments and generate revenue for the payments network.

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