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UPI to remain free for users; nominal MDR may apply to select merchant transactions

Posted on August 8, 2026
By Business News Today
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UPI to remain free for users; nominal MDR may apply to select merchant transactions

Consumers will not face any charges for UPI payments. Most merchant transactions will also remain free of cost. Any future charges will apply to limited merchant transactions above a threshold. This move aims to ensure UPI's long-term sustainability and technological advancement. The government stated UPI will remain free for citizens.