🔰 UPI Remains Free for Consumers UPI continues to be free for customers. Sending money to friends, paying at shops, or scanning a QR code — all remain without charges. Key Facts: ✅ No charges on P2P: Person-to-Person transfers are always free, regardless of amount. ✅ Small merchants protected: Vendors earning up to ₹1 lakh per month via UPI QR codes continue to enjoy zero charges. ✅ Everyday payments safe: Over 95% of merchant payments are below ₹2,000 — these remain free. ✅ Nominal MDR above ₹2,000: Only larger merchant transactions above ₹2,000 attract a small fee (0.4%) to be borne by merchants, far lower than credit card charges or other network charges. ✅ Essential services capped: Railways, fuel, telecom, bill payments, insurance, etc have a flat fee of ₹5 per transaction above ₹2,000. ✅ Special low rates: Mutual fund and securities payments attract just 0.02%, capped at ₹300. Safeguards for Consumers ✅Banks instructed: Merchants cannot pass MDR costs to customers. ✅No hidden fees: UPI apps cannot levy platform charges. Debunking the “External Pressure” Myth: ✅ Some claims suggest the change is due to foreign influence. This is false. India’s UPI policy decisions are made independently, with the clear goal of building a self-sustaining, inclusive, and affordable digital payments ecosystem. Why This Matters: Since its launch in 2016, UPI has grown into the world’s largest real-time interoperable payment system — entirely on India’s own terms. UPI processed 24.5 billion transactions in August 2026 alone. To keep this system self-sustainable, secure and innovative, a small fee on high-value merchant transactions helps fund: ☑️Better infrastructure and cybersecurity ☑️Support for small merchants in Tier III–VI towns and rural areas ☑️Awareness and incentives to expand UPI adoption The new framework ensures resources from higher-value merchant transactions are reinvested to support small businesses and strengthen digital payments across the country. 🔗Read FAQs at: financialservices.gov.in/sit…