New Delhi, Sept. 15 -- The Centre has formally clarified the rules around charges on digital payments, saying UPI transactions of up to Rs.2,000 and payments made through RuPay-powered debit cards cannot attract direct or indirect charges from banks or system providers.

The Finance Ministry's Department of Financial Services issued the notification on September 14 under Section 10A of the Payment and Settlement Systems Act, 2007. The notification specifically lists RuPay debit cards and UPI transactions up to Rs.2,000 as electronic payment modes on which charges cannot be imposed on the person making or receiving the payment.

For most people, this means everyday UPI payments remain unchanged. Paying Rs.500 at a neighbourhood shop, trans...