New Delhi, Sept. 22 -- The National Payments Council of India (NPCI) last week released its fact sheet on the 0.4% merchant discount rate (MDR) imposed on person-to-merchant (P2M) UPI transactions over Rs.2,000, capped at Rs.300 per transaction for payments of Rs.75,000 and above.

Today, we take a look at the frequent asked questions (FAQs) for small and micro merchants with regards to the MDR on UPI that is set to come into effect from 15 October.

No. As per the FAQs, small merchants operating under the person-to-person merchant (P2PM) framework will continue with zero MDR. "The P2PM category promotes digital payment acceptance among small merchants and in the unorganised retail sector," it stated.

Further, it said that small vendors ...