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Your UPI to Cost More? Govt Proposes Payment Act Change That Could Bring ...

Published

4 August 2026

Topic

regulatory

Sectors

Fintech

Geography

India

Source

Read at english.gujaratsamachar.com

Verified

Fusion42 · 4 August 2026 · Fusion42 review

The Indian government has proposed an amendment to the Payment and Settlement Systems Act, 2007, enabling it to reintroduce merchant charges on digital payment modes like UPI in the future, reversing the current zero-MDR policy but without immediate fees.

This Wire brief sits within Fusion42's coverage of Fintech, and 12 sources have reported it between 19 Jul 2026 and 12 Aug 2026.

◆ The Wire takeaway

The legal return of merchant charges on UPI unsettles the free-payment market you depend on; start talking to merchant customers now about pricing sensitivity and potential pushback ahead.

Coverage

12 sources · first reported 19 Jul 2026 · latest 12 Aug 2026

Related on Wire

Topics

Fintechupimerchant-discount-ratepayment-actdigital-paymentsindia