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No, your UPI transactions aren't getting charged: Government refutes fee rumors claims

Published

8 August 2026

Topic

regulatory

Sectors

Fintech

Geography

India

Source

Read at businesstoday.in

Verified

Fusion42 · 28 August 2026 · Fusion42 review

The Indian government has confirmed that UPI transactions will remain free for citizens and most merchants despite proposed legislative changes. The amendment aims to ensure the system's sustainability and security, with any future merchant fees applying only to limited transactions above a threshold.

This Wire brief sits within Fusion42's coverage of Fintech.

◆ The Wire takeaway

You can assure your users that UPI payments remain free for now but prepare your merchant model for potential low-rate charges on high-volume transactions after India’s law changes. This opens a niche for fintechs to help merchants navigate new fee rules and compliance.

Coverage

1 source · 8 Aug 2026

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Topics

Fintechupidigital-paymentsmerchant-discount-rateregulationindia