The government has clarified that there will be no charges on UPI transactions. The Finance Ministry has dismissed the rumours by posting on social media. There is no plan to impose charges on UPI transactions.
Nowadays, it is easy to say, “Who keeps money, do UPI”, right from waking up in the morning to going to sleep at night, all the transactions that happen during the day are done through UPI. It was generally said that if an amount of more than Rs 3000 is transferred through UPI, there will be charges on it. Now the government itself has given information about this. The Finance Ministry has said it very clearly. The government has no intention of charging any charges on UPI transactions.
The Finance Ministry has given this good news by posting on social media. They have said that there is currently no plan to implement ‘Merchant Discount Rate’ (MDR) on UPI transactions. They have categorically stated that the news in this regard is completely wrong, baseless and misleading.
Such rumours create unnecessary fear and confusion among the citizens. He also clarified that the government is committed to promoting UPI and digital transactions, which will definitely be a relief to hear. In fact, the Payments Council of India had recommended to the government to impose 0.3% MDR on large merchants (those with high turnover).
Based on this recommendation, some media outlets claimed that the government is considering imposing charges on UPI transactions above Rs 3000. However, the government has now categorically denied all these claims. Currently, credit/debit cards have an MDR of 0.9% to 2%. However, it is a relief that there is no charge on the ‘RuPay Credit Card’.
Speculation and claims that the MDR will be charged on UPI transactions are completely false, baseless, and misleading.
Such baseless and sensation-creating speculations cause needless uncertainty, fear and suspicion among our citizens.
The Government remains fully committed…
— Ministry of Finance (@FinMinIndia) June 11, 2025
Today, UPI transactions represent 80% of retail digital transactions in our country. The total value of merchant UPI transactions alone has crossed Rs 60 lakh crore since 2020, which shows how popular UPI has become. The policy of free UPI has made India the leading digital payments country in the world.
Some reports also said that banks and payment providers are facing financial losses, due to which they are considering imposing charges on large transactions. But now, with the government’s clear statement, all these claims have been revealed to be mere rumours and pure ‘excess’.
The government has categorically denied any kind of talk and news about imposing charges on UPI transactions. Therefore, it is an important advice that citizens should not believe such rumours at all and should trust only official information. The government itself has now assured that there will be no additional burden on your pocket!
